2023Q3 earnings increase compared with the previous month, maintaining "Buy" rating
The company's 2023Q3 achieved revenue of 1.696 billion yuan in a single quarter, YoY+28.8%; net profit of 260 million yuan, YoY+11.0%, QoQ+207.7%; net profit of 255 million yuan and YoY+10.6%, QoQ+430.6%; gross profit of 28.6%. In 2023, Q1-Q3, the company realized revenue of 3.549 billion yuan, YoY+10.9%, realized net profit of 438 million yuan, YoY-8.8%, realized non-return net profit of 365 million yuan, YoY-13.5%. The company's micro optical prism business is progressing smoothly, and the return of Huawei's mobile phone is expected to lead to the increment of the company's Android products. We raise our forecast for 2023-2025. It is estimated that the net return profit of 2023, 2024, and 2025 is 5.47, 679, 784, 000, 000 The current share price corresponds to a "buy" rating of 31.2 PE 25.1 prime 21.8.
The micro-prism project is in mass production as scheduled, and the early investment began to create and output. The micro-prism module developed by the company is the core device of periscope optical zoom, which can significantly improve the imaging quality of mobile phones and is expected to lead the micro-innovation of smartphone camera skills. The company's micro-prism products are complex in process and difficult to process, so they are one of the few suppliers with mass production capacity in the world. At present, the miniature prism module of the company has been successfully mass produced, and the early investment has begun to make a profit. The R & D cost of 2023Q3 Company is 69.812 million yuan, and the R & D cost of YoY-16.9%,QoQ-46.4%, has gradually returned to the normal level. Benefiting from the return of Huawei's high-end products, the company's semiconductor optics business is also expected to grow with the innovation of Android phones in 3D imaging technology. Overall, the company's traditional optical components business is expected to usher in a new bright spot of growth in the future.
Automotive electronics and AR business stable development, creating the company's second growth curve automotive electronics, the company layout HUD, lidar windows, vehicle optical components and other products, including automotive HUD products have successfully entered overseas, joint venture and domestic customer supply chain, lidar window film is also in a leading position in the industry. In terms of AR, the company focuses on laying out the reflected optical waveguide technology route, which is successfully docked with the industry giants, and is expected to keep up with the needs and technology of the international mainstream market, and lay out in advance in the early stage of the rapid development of the industry.
Risk hints: downstream demand is lower than expected risk; new product development progress is not as expected as expected risk; AR-HUD penetration is not as expected as expected risk; technology achievement industrialization is not as expected risk.