This report is read as follows:
The company's 2Q23 performance has improved month-on-month, and the overall growth rate has rebounded steadily, continuously increasing R & D investment and building a "Bumping+CP+FC+FT" one-stop delivery capability, which is expected to benefit deeply from the Chiplet technology trend in the future.
Main points of investment:
Maintain the "overweight" rating and lower the target price by 43.40 yuan. Considering that the impact of the current global end market weakness has not been completely eliminated, the EPS of the company in 2023-2025 is 0.21,0.62 (1.57) and 0.94 yuan respectively. Considering the company's one-stop delivery capacity of advanced packaging, the growth space is expected to give it 70 times PE in 2024, with a target price of 43.40 yuan.
2Q23 performance improved month-on-month and continued to increase investment in research and development. The operating income of 1H23 company is 983 million yuan, the net profit of YoY-13.46%, is-79 million yuan, and the net profit of YoY-168.62%, is-114 million yuan, YoY-220.77%. 2Q23's farming rate rebounded steadily, its performance rebounded month-on-month, achieving operating income of 558 million yuan, YoY+0.55%,QoQ+31.42%, return net profit of-29.03 million yuan, month-on-month increase of 20.84 million yuan, deduction of non-home net profit of-44.66 million yuan, month-on-month increase of 20.84 million yuan, gross profit margin of 15.07%, month-on-month ratio + 6.68pcts. The company continues to increase investment in R & D, 1H23 R & D accounts for 6.27% of operating revenue, year-on-year + 0.97pcts.
Create one-stop delivery capability, in-depth layout of Chiplet underlying technology. The company actively promotes the implementation of the second phase of the project, expands the existing product line, creates an one-stop delivery capability of "Bumping+CP+FC+FT", and expands its downstream customer base and application fields. New progress has been made in the field of advanced packaging, the company has completed mass production of 5G PAMiD module products and achieved mass sales; completed the development and mass production of copper bump and tin bump and wafer level fan-in technology based on high-density interconnection, with one-stop delivery capability; completed FC-BGA technology development and achieved mass production, the company's deep layout of Bump process is expected to make the company deeply benefit from the future Chiplet development trend.
Catalyst. SiP products speed up the volume, Chiplet related technology research and development has made a new breakthrough.
Risk hint. Customer concentration is high; new product research and development is not as expected.