Event: the company releases its semi-annual report 2023
The growth rate of investment income slowed down, and the profit of the main business was strong to ensure that the 23H1 performance was in line with market expectations: in the first half of 2023, the company realized revenue of 1.66 billion yuan, down 25% from the same period last year, and realized net profit of 210 million yuan, up 20% from the same period last year. Q2 achieved revenue of 870 million yuan in a single quarter, down 12% from the same period last year, up 10% from the previous year, and realized net profit of 120 million yuan, up 4% from the same period last year and 28% from the previous year.
The growth rate of the core profit of Hongfa Diansheng, the participating subsidiary of 23H1 company, slowed down, and the growth rate of 23H1 profit decreased by 15 percentage points to 10%. The company achieved steady growth in the core main business performance: 1) the revenue of laser products was 120 million yuan, up 14%, and net profit was 31.7 million yuan, up 34%. 2) the revenue of the intelligent controller business was 1 billion yuan, a slight decrease of 3% compared with the same period last year, and the net profit was 60 million yuan, a decrease of 10% over the same period last year, mainly due to the company's adjustment of the product structure of the intelligent controller and the depreciation of the new plant. 3) High temperature superconducting induction heating equipment is currently ordered for more than 60 sets, and 6 sets have been delivered during the reporting period.
The high temperature superconducting magnet technology is the world leader, and the multi-field layout opens the long-term growth space: the high temperature superconducting industry is the company's future focus development direction, the current superconducting business layout has been expanded from induction heating equipment to crystal silicon growth furnace and other fields. At present, the high temperature superconducting induction heating equipment has achieved a 0-1 breakthrough in the market. at present, the company has ordered more than 60 units, and 6 have been delivered during the reporting period. In terms of new field layout, the company continues to open up new application scenes of high temperature superconducting magnets. At present, it has cooperated with silicon single crystal growth furnace equipment manufacturers to speed up the research and development of high temperature superconducting magnets for photovoltaic and semiconductor magnetron single crystal growth furnaces. It is expected to further open up hundreds of billions of market space and build a new growth pole of the company's performance.
The profit growth of the laser industry is steady, and the intelligent controller business continues to optimize the product structure: the laser industry plate: the company continues to increase the research and development of higher performance products, and has successfully developed lighter, higher electro-optic efficiency and brightness device products, which have contributed to revenue in mass production. At present, the company has full orders for pump sources, lasers and other products, and its production capacity is at full load. at the same time, it is expanding its production capacity in an orderly manner, contributing to the steady growth of revenue. Intelligent controller business continues to optimize product structure, intelligent controller products focus on automotive electronics and industrial control fields, while continuously improving the production capacity of high-end Optocoupler products, product structure optimization has achieved initial results, 23H1 gross profit margin increased by 3.2 percentage points to 19% compared with the same period last year.
Profit forecast and investment rating: the company focuses on the main business of laser, superconductor and intelligent controller, and the product is accelerated, but the profit growth rate of Hongfa, the core source of equity investment income of the company, slows down. we downgrade our profit forecast for the company It is estimated that the company's 23-25 return net profit will be 4.5 million RMB 621,770 million (the previous forecast of 23Accord 24 is 4.78 million RMB 6751,881 million), corresponding to the corresponding PE for 23-25 years, which is twice that of 35-27-21, maintaining the "buy" rating.
Risk hints: the production capacity expansion of high temperature superconducting business is not as expected; the research and development of superconducting magnets applied by high temperature superconducting business in new fields is not as expected; the divestiture of backlight and cable business is not as expected.