Event: on October 27, 2023, the company released its quarterly report for 23 years, with revenue of 596 million yuan in the first three quarters,-18.72% year-on-year, and net profit of 75 million yuan,-57.93% year-on-year.
The performance is in line with expectations. From a quarterly point of view, 23Q3 achieved revenue of 210 million yuan, 1.24% year-on-year and 0.04% month-on-month; net profit from home was 28 million yuan,-34.73% year-on-year and 0.54% month-on-month. 23Q3 revenue became positive compared with the same period last year, and the month-on-month ratio was basically flat: the inventory of the 23H1 crystal oscillator industry continued to eliminate, and the cycle gradually hit the bottom; 23Q3 shipments increased month-on-month, but overall sales were basically flat due to the decline of product ASP.
The gross profit margin increased significantly from the previous month, and the expense rate during the period increased compared with the same period last year. 1) Gross profit margin: the gross profit margin in the first three quarters was 24.70%, compared with the same period last year-14.45pct. Among them, 23Q3 is 25.64%, year-on-year-10.33pct, month-on-month + 0.98pct. The year-on-year decline in gross profit margin is mainly due to the continuous price reduction and destocking cycle in the crystal industry in 22-23; the 23Q3 industry cycle bottomed out and rebounded, and gross profit margin improved month-on-month. 2) period rate: the expense rate in the first three quarters of 23 is 11.64%, year-on-year + 0.3pct. Among them, sales, management, R & D, financial rates are 2.04%, 6.77%, 5.07%,-2.24%, year-on-year + 0.17, + 0.53,-0.63, + 0.24pct.
Promote the progress of research and development of high-end products such as high-frequency, miniaturization and vehicle regulations and industrial regulations, and continue to seize domestic market share. 1) Technology research and development: to achieve trial production and mass production of 76.8,80,96,125,125,212, 285MHz ultra-high frequency and ultra-small size products, with 300MHz high fundamental frequency processing capability; low power consumption, high precision, tuning fork XO series, TCXO series products and low phase noise, high stability and constant temperature OCXO series products, RTC module mass production and yield improvement Car gauge-level high-frequency series, OSC clock vibration and other series of product characteristics optimization and yield improvement, corresponding to the reliability of vehicle specification products and the requirements of various index parameters. 2) Market expansion: centering on the key customer strategy, we continue to promote the application of RTC clock modules and high-end active products, high-frequency differential oscillators and other high-end products in industrial and vehicle specifications and other markets. at present, we have passed the verification and audit of some global high-quality Tier1 and Tier2 manufacturers, serving more than a dozen mainframe factories and supporting enterprises.
Profit forecast: based on the slowdown in 23Q3 terminal demand, the 23-25-year net profit was lowered to 1.07,2.00 and 283 million yuan, maintaining the "buy" rating.
Risk tips: consumer electronics demand recovery is not as expected; industry competition aggravates risks and so on.