Core views:
Sales revenue from the special equipment manufacturing business achieved rapid growth in 23 years. The company published its annual report for '23 and its quarterly report for '24. In '23, the company's revenue was 965 million yuan, yoy -16.67%, of which the special equipment manufacturing business achieved sales revenue of 346 million yuan, yoy +67.53%, and the real estate business achieved sales revenue of 548 million yuan, yoy -39.03%; the company's net profit to mother was 151 million yuan, yoy -64.32%; gross profit margin of 46.96%, yoy-7.48pct; net profit margin 8.7%, yoy-24.71 pct.
In Q1 '24, the company's revenue was 99.13 million yuan, yoy -20.24%, qoq -51.1%; net profit to mother was 4.74 million yuan, yoy -94.1%, qoq +138.04%; gross profit margin 77.27%, yoy+24.72pct, qoq+53.16pct.
Kaishitong's product and customer expansion is progressing steadily, and Jiaxin continues to increase the size of the company's orders. According to the company's 23 annual report, Kaishitong, a subsidiary of the company, is a domestic supplier that has achieved full coverage of the 28nm low-energy ion implantation process, and was the first to complete production line verification and acceptance of domestic high-energy ion implanters. In 24Q1, Kaishitong released a large-beam ion injector for the CIS. The product received an order from the customer in 23Q4 and delivered to the customer in March '24. In 24Q1, Kaishitong shipped a total of 8 ion implanter equipment to a number of repeat order customers, and several new customer orders were added in April.
Since 23 years, Casteon has added more than 270 million yuan in new orders, covering various application fields such as logic, storage, power, and image sensors. The PHOEBUS PVD equipment developed in-house by the company's Jiaxin Semiconductor has higher accuracy and flexibility, can meet the diversified process needs of customers, and has both 12 inch and 8 inch architectures. Since 23 years, Carson Semiconductor has added more than 130 million yuan in new orders, and has obtained a cumulative order amount of about 410 million yuan since establishment.
Profit forecasting and investment advice. The company's 24-26 revenue is estimated to be 10.63/12.99/1,490 million yuan, of which equipment business revenue is 585/9.08/1,305 million yuan; the company's net profit for 24-26 is estimated to be 1.52/2.11/254 million yuan. Referring to comparable company valuations, the company's equipment business was given 16 times PS in 25 years, corresponding to a reasonable value of 15.62 yuan/share for the company, giving it a “buy” rating.
Risk warning. The industry cycle fluctuates; customer expansion falls short of expectations; market competition intensifies.