Investment in BLE requires _ S point: m special a note] In the development and industrialization of high-end electronic packaging materials, it can provide one-stop integrated circuit packaging solutions for chip process customers.
Focus on the development and industrialization of high-end electronic packaging materials. Yantai Debang Technology Co., Ltd. (“Debon Technology” for short) was founded in January 2003. The company has a deep understanding of electronic packaging materials and focuses on the development and industrialization of high-end electronic packaging materials. The products include four categories of integrated circuit packaging materials, smart terminal packaging materials, new energy application materials, and high-end equipment application materials, which can achieve complex functions such as structural bonding, electrical conductivity, thermal conductivity, insulation, protection, and electromagnetic shielding, and is widely used in wafer processing, chip-level packaging, power device packaging, module and system integration packaging, etc.
Revenue in 2023 was $932 million, up 0.37% year over year. Debon Technology's revenue was 932 million yuan, up 0.37% year on year; net profit to mother was 103 million yuan, down 16.31% year on year; net profit after deduction was 87.657 million yuan, down 12.60% year on year. The main reasons for the decline in profitability are: ①, lower terminal sales prices for some products; ②, increased R&D investment; ③, confirmation of share payment fees, etc. In terms of items, revenue from integrated circuit packaging materials was 96.2632 million yuan, up 2.11% year on year; revenue from smart terminal packaging materials was 175.874 million yuan, down 3.41% year on year; revenue from materials for new energy applications was 585.3287 million yuan, down 0.82% year on year; revenue from high-end equipment application materials was 708.629 million yuan, up 7.63% year on year.
It can provide a one-stop solution for integrated circuit packaging. In the field of integrated circuit packaging materials, the company has now formed various types and series of adhesive and film products such as UV film series, solid crystal series, thermal conductivity series, bottom filler series, lid frame bonding materials, etc., which can provide customers with a one-stop solution for integrated circuit packaging in the chip process. Among them: ①, chip solid crystal adhesive, customers include Tongfu Microelectronics, Huatian Technology, Changdian Technology, etc.; ②, wafer UV film, which has now been supplied in batches; ③, DAF film has been stably shipped in batches; Lid frame bonding materials have been verified by leading domestic customers, and small-batch orders have been obtained and shipped; ④, chip-level underfill adhesives, chip-level thermal interface materials, and DAF film materials have been verified by key customers.
2024E will continue to expand into the field of high-end smart terminal packaging materials and grow by benefiting from the development of the energy storage industry. In the field of smart terminal packaging materials, the company already occupies a major share in the middle and low end fields, and will gradually expand to the middle and high-end fields; in the field of new energy application materials, thanks to the company's early layout in the field of energy storage, it has achieved batch supply of energy storage for major customers in the industry, such as Ningde Era and Sunshine Power. The future will benefit from the energy storage industry, and the scale is expected to grow rapidly.
Profit forecasting and valuation recommendations. We expect Debon Technology's 2024E-2026E revenue to be 1,075 million yuan, 1,308 billion yuan, and 1,600 million yuan respectively, and net profit to mother (before deduction) of 105 million yuan, 145 million yuan, and 202 million yuan, respectively. Using the PE valuation method, combined with comparable company levels, Debon Technology was given a 40x-50x valuation, corresponding to a reasonable market value range of 4.189 billion yuan - 5237 billion yuan, and a reasonable value range of 29.45 yuan/share - 36.81 yuan/share. For the first time, coverage gave a “superior to the market” rating.
Risk warning: New product introduction is slower than expected, market competition intensifies, core R&D personnel are leaving their jobs, etc.