The company is a leading supplier of semiconductor cleaning equipment in China. Since its establishment, the company has been committed to providing leading equipment and process solutions for the global integrated circuit industry, adhering to the development strategy of differentiated international competition and original innovation. Through independent research and development, the company has established a relatively complete intellectual property system. With rich technology and process accumulation, it has formed an internationally leading cutting-edge semiconductor process equipment, including cleaning equipment (including single-chip, trough, single-chip trough combinations, supercritical CO2 drying and cleaning, edge and back brushing), semiconductor electroplating equipment, vertical furnace tube series equipment (including oxidation, diffusion, vacuum tempering, and LPCD) , ALD), front-end gluing and imaging track equipment, plasma-enhanced chemical vapor deposition PECVD equipment, stress-free polishing equipment; advanced post-packaging process equipment, and silicon material substrate manufacturing process equipment, etc.

The company is iterating on wet processing equipment. The company continues to cooperate with existing customers and has established extensive cooperation with new customers at home and abroad. In March 2024, the company achieved product iterative upgrades and new breakthroughs, and 4,000 chambers of wet equipment were successfully delivered. As a technologically differentiated high-end semiconductor equipment supplier, the company team appeared at the SEMICONCHINA exhibition to provide new and old customers with the latest technology and solutions. In May 2024, the company launched framed wafer cleaning equipment for advanced packaging. This equipment can effectively clean semiconductor wafers during cleaning after decontamination, reduce the amount of chemicals used in the production process, and has significant environmental and cost benefits.

The company continues to vigorously invest in R&D, forming strong technical barriers. Through continuous R&D investment and long-term technology and process accumulation, the company has formed a series of scientific and technological achievements in new product development and production process improvement, which have played a key role in the company's continuous improvement of product quality and rich product layout. The scientific and technological achievements of the company are an important part of the company's competitiveness and the foundation for the continuous growth of the company's product sales scale. In the first half of 2024, the company's sales revenue was 2.404 billion yuan, showing a continuous growth trend. Large-scale sales of the company's products are a concrete sign of the company's scientific and technological achievements and the deep integration of the industry. The company's main products are semiconductor cleaning equipment, semiconductor electroplating equipment, vertical furnace equipment and advanced wet packaging equipment, covering fields such as wafer manufacturing and advanced packaging. In the first half of 2024, the company's product development direction was in line with market trends and needs, and was deeply integrated with industrial development. The R&D results of each product have been recognized by mainstream customers in the industry. The customer verification situation is good, which enhances the competitiveness of the company's products.

Profit forecast, valuation and rating: The company's products are continuously iteratively upgraded, and the marketing of new products is smooth. We raised the company's net profit forecast for 2024-2025 to 1.156 billion yuan (up 5.57%) and 1.476 billion yuan (up 17.33%), respectively, and added the 2026 net profit forecast to 1.829 billion yuan, with corresponding PE values of 41x, 32x and 26x. The company is a leading semiconductor cleaning equipment company in China. It will continue to benefit from the increase in performance brought about by localization, and we maintain the company's “buy” rating.

Risk warning: technology and product development risks; trade environment impact.