Add code to develop optical module connectors to maintain the advantages in the field of communication. Dingtong insists on taking R & D as the driving force and keeps abreast of the development trend of the industry. the company continues to increase its R & D investment to 34.8111 million yuan in the first half of 2023.
The company takes the multi-interface shell series products as the main direction of the high-speed communication connector module, and constantly optimizes the radiator components, and the demand for single-channel speed has now reached 112Gbps. In the field of new energy vehicles, in addition to optimizing existing products, the company is also gradually developing new BMS-oriented products such as module water-cooled plates and precision structures to improve battery safety. As of August 2023, the BMS Gen6 project between the company and Morse has entered the stage of small batch trial production. The company will adhere to the technical research in the field of communication connectors and automotive connectors, closely grasp the development trend of advanced technology, and maintain the advantages of technological innovation.
Changsha wholly-owned subsidiary has been set up, and the production capacity at home and abroad has been upgraded in an all-round way. The company continues to increase domestic and foreign market development efforts, continue to carry out horizontal layout and vertical integration, the Malaysian subsidiary is going through the relevant procedures, relevant personnel and supporting machinery and equipment have been stationed, and gradually started mold parts processing business. Focus on expanding the company's overseas communications business, the main customers are Amfino, Morse, Tyco and so on. In August 2023, the company invested and set up a wholly-owned subsidiary in Changsha, mainly engaged in auto parts R & D and manufacturing. The establishment of the subsidiary will help the company to further expand its main business and strengthen its competitiveness in the field of automotive connectors. In the field of new energy vehicles, the company has successfully established cooperation with China FAW, Saichuan Electronics, Tongqu Automobile and other enterprises in electronically controlled connectors, connection assembly and other projects, and has continuously deepened its cooperation with BYD, a key customer. Increased battery structure and component products. In 2022, the construction of Henan Dingrun IPO investment project was successfully promoted, and the plant infrastructure construction was completed. Machinery, equipment, personnel, etc., have been introduced as planned, and gradually put into production to meet customer order needs. By the first half of 2023, the investment progress has reached 86.04%. In the future, with the smooth commissioning of many production bases at home and abroad and the release of production capacity, it will help the company to optimize its strategic layout and coordinate development at home and abroad.
Profit forecast and investment rating: we forecast the company's 2023-2025 return net profit of 1.86pm 257max 354 million, 2023-2025 EPS 2.60max 3.58 respectively, the current share price corresponding to PE is 33-24-17 times, based on the company's automotive connector business continued to expand, we are optimistic about the future development of the company, to maintain the "buy" rating.
Risk tips: macroeconomic risk, market competition aggravating risk, technology iteration risk, gross profit margin decline risk.