Revenue Projections - The company expects to achieve an annual revenue of approximately 506 million yuan in 2024, which is roughly flat compared to the previous year[3]. - In 2023, the company reported an annual revenue of 505.69 million yuan and a net profit attributable to the parent company of -329.44 million yuan[4]. Profit Forecasts - The projected net profit attributable to the parent company for 2024 is around -619 million yuan, a decrease of approximately 28.96 million yuan or 87.89% year-over-year[3]. - The net profit attributable to the parent company after deducting non-recurring gains and losses is expected to be about -655 million yuan, reflecting a year-over-year decline of approximately 21.31 million yuan or 48.24%[3]. Revenue Composition - The company has seen a significant increase in revenue from chip products, while revenue from solution-based services has declined substantially due to a strategic shift[5]. Cost and Margin Analysis - The gross profit margin has slightly decreased due to high costs associated with early shipments of bridge chips and the impact of fixed cost allocation[6]. Asset Impairment and Market Conditions - The company has experienced a significant increase in asset impairment losses, expected to exceed 200 million yuan, primarily due to macroeconomic pressures[6]. - The company anticipates that previously recognized inventory impairments may not have a substantial impact on operations as the traditional industrial control market gradually recovers[6]. Financial Reporting and Investor Advisory - The financial data presented is preliminary and has not been audited by registered accountants, with the final figures to be disclosed in the audited annual report[8]. - Investors are advised to be cautious regarding investment risks as the forecast data is based on preliminary calculations[8].

Summary of Longxin Zhongke Conference Call Company Overview - **Company Name**: Longxin Zhongke - **Industry**: Semiconductor and CPU design - **Listing**: Listed on the Shangjiaoshuo Science and Technology Edition in 2022 - **Core Business**: Development of independent CPU technology and information technology systems, focusing on self-reliance from foreign technologies like Windows and Intel [2][3][4] Key Points and Arguments - **Independent Technology Development**: Longxin Zhongke is the only CPU company in China that builds an independent information technology system, aiming to control core technologies domestically [2][3][4] - **Product Applications**: Longxin chips are utilized in various sectors including electronics, energy, transportation, finance, telecommunications, and education [2][3] - **Product Range**: The company offers several product lines including Longxin No.1 MCU series, Longxin No.2 SoC series, and Longxin No.3 CPU series [3][4] - **Performance Comparison**: Longxin CPUs have reached performance levels comparable to Intel's Core i10, with aspirations to replace foreign products in desktop and laptop markets [4][5] - **Self-Sufficiency**: The company emphasizes that its products do not require foreign authorization, allowing for complete self-control from design to production [4][5][9] Market Position and Strategy - **Market Goals**: Longxin aims to establish a self-controlled information technology base and industrial ecology independent of X86 and ARM architectures [3][4] - **Ecosystem Development**: The company is focused on building a comprehensive ecosystem that integrates software and hardware, eliminating authorization fees and enhancing cost efficiency [8][9] - **Industrial Applications**: Longxin's CPUs are applied in critical infrastructure such as nuclear power plants and thermal power plants, showcasing their reliability and performance in extreme conditions [8][9] Future Outlook - **Growth Potential**: Longxin is positioned to capture a significant share of the domestic computing market, with increasing investment and market space in large-scale computing industries [9][10] - **Testing and Quality Assurance**: The company has established a testing base to ensure the performance and reliability of its chips, which are tested under extreme conditions [10][11] - **Product Development Timeline**: Longxin plans to mass-produce and release new products in the coming year, indicating a robust pipeline for future growth [9][10] Additional Insights - **Cross-Platform Compatibility**: Longxin is working on ensuring compatibility with existing Windows devices and software, addressing concerns about usability in the market [6][7] - **Focus on Domestic Needs**: The company aims to develop products that meet the needs and habits of domestic consumers, collaborating with local manufacturers [5][10] - **Investment in R&D**: Longxin has committed to continuous research and development, launching new products and enhancing existing technologies to maintain competitive advantage [11] This summary encapsulates the key aspects of Longxin Zhongke's conference call, highlighting its strategic focus on independence, product development, and market positioning within the semiconductor industry.

Group 1: Market Performance and Product Development - Longxin's product competitiveness has improved, leading to a recovery in market demand and expansion in market presence [1] - The 3A6000 desktop CPU launched last year has significantly enhanced cost-performance ratio, resulting in a notable increase in information chip revenue year-on-year [1] - The server business is gaining traction in policy-driven markets, with expectations for further growth following the release of the 3C6000 series server chips [1] Group 2: Industrial Control and AI Integration - The industrial control sector is in its early stages of domestic replacement, with a high market ceiling due to its broad industry applications [1] - Longxin is enhancing product competitiveness by continuously launching relevant chip products, such as the 2K0300 aimed at the open market [1] - The company is focusing on integrating AI frameworks to run efficiently on its CPUs, with some mainstream open-source AI frameworks already operational on Longxin architecture [5] Group 3: Technological Advancements - Longxin's Dragon Link technology facilitates high-efficiency interconnection between chips, supporting larger-scale computing scenarios [5] - This technology is currently utilized for interconnections between server chips and may extend to connections between Longxin CPUs and self-developed high-end GPGPUs in the future [5]

Group 1: Investor Relations Activities - The investor relations activity included a site visit on December 12, 2024, at the Longxin Industrial Park in Beijing [2] - Participating units included various funds and securities companies [2] Group 2: Technology Licensing and IP - Longxin has developed its own instruction architecture and IP, focusing on external technology licensing to meet ecosystem demands [2] - As of November 2023, multiple companies signed cooperation agreements to use Longxin's architecture for chip design, with two companies already selling chips based on this architecture [2] - The revenue from IP licensing is currently small and will require time for scalable development [2] Group 3: Product Development Progress - The next-generation desktop CPU, 3B6600, is in the design phase and is expected to be delivered in the first half of next year [5] - The server CPU, 3C6000, is in the sample stage, with productization expected by Q2 2025, showing performance benchmarks against Intel's Xeon series [5] - The GPGPU chip, 9A1000, is being developed for entry-level graphics and AI inference acceleration, with performance targeting AMD RX550 [5] Group 4: Cost-Performance Advantages - Longxin's fourth-generation products, represented by the "Three Musketeers" and "Three Sharp Soldiers," focus on improving cost-performance ratio and software ecosystem [5] - The 3A6000 desktop chip has a 20% smaller silicon area, 60% single-core performance improvement, and 100% multi-core performance improvement compared to its predecessor [5] - The 3C6000 server chip shows a performance doubling and cost halving compared to the 3C5000, currently in the sample stage [5] - Longxin's self-developed core IP and components contribute to long-term cost advantages and rapid technological iteration [5]

Group 1: Product Development - The next-generation desktop CPU, 3B6600, is under development, with a performance improvement of approximately 30% compared to the previous model, 3A6000, using advanced manufacturing processes [2] - The server CPU, 3C6000, is in the sample stage, with plans for mass production and official release by Q2 2025, featuring 16 cores and 32 threads [2] - The GPU chip, 9A1000, is positioned as an entry-level graphics card, with performance comparable to AMD RX550, expected to freeze code by the end of 2024 [4] Group 2: Industrial Applications - The industrial control business primarily targets sectors such as energy, transportation, and smart manufacturing, with a high potential market ceiling [4] - The adoption of domestic chips like the 3A5000 is driven by performance parity and system integration capabilities, reducing overall system costs [4] Group 3: Supply Chain and Independence - The company has maintained a stable supply chain without any disruptions, emphasizing independence from foreign supply chains [4][6] - The strategy includes developing a self-controlled information technology ecosystem, relying on domestic technology and avoiding foreign technology licenses [4][6] - The production and supply chain risks have been minimized, ensuring supply security [6]

Group 1: Company Overview and Technology - Longxin Technology has developed its own instruction set architecture, LoongArch, to build a software ecosystem that emphasizes "solid foundation, broad compatibility, and independent applications" [5] - The company has achieved performance levels comparable to mainstream products through continuous optimization of design, despite manufacturing process gaps [2] - Longxin's core IPs are self-developed, allowing for a comprehensive system approach to performance issues [2] Group 2: Software Ecosystem Development - The basic software ecosystem based on LoongArch has been established, with significant support from international open-source communities like Debian and Alpine [5] - Domestic operating system vendors such as Tongxin, Kylin, and others have released versions supporting LoongArch, indicating a healthy development phase for the ecosystem [5] - Longxin aims to develop a fully autonomous application ecosystem, similar to the app ecosystems on mobile platforms [10] Group 3: Product Development and Market Strategy - Longxin is developing the GPGPU chip 9A1000, which aims to provide competitive performance in 3D graphics and general computing power [7] - The company anticipates growth in its PC business, particularly with the 3A6000 desktop CPU, which has received positive market feedback [7] - In the server business, the upcoming 3C6000 series is expected to enhance revenue, with a projected product launch in Q2 2025 [12] Group 4: Talent and Corporate Culture - Longxin adheres to a talent selection standard of "red and specialized," emphasizing a strong work ethic and commitment to national interests [12] - The company has built a capable team with deep technical expertise in processor design and software development [12] Group 5: Financial Performance and Future Outlook - Longxin's revenue from information technology chips has increased by over 100% year-on-year [12] - The company is focusing on niche markets for targeted breakthroughs, particularly in industrial control and cloud terminal sectors [7]

证券代码：688047 证券简称：龙芯中科 公告编号：2024-046 龙芯中科技术股份有限公司 股东减持股份结果公告 一、减持主体减持前基本情况 减持计划的实施结果情况 2024 年 10 月 1 日，公司于上海证券交易所网站（www.sse.com.cn）披露了 《龙芯中科股东减持股份计划公告》（2024-041），横琴利禾博计划通过集中竞价 交易和/或大宗交易的方式减持其持有的公司部分股份，减持不超过 2,005,000 股，分别占公司总股本的比例为 0.5%。 近日，公司收到了横琴利禾博出具的告知函，横琴利禾博通过集中竞价交易 的方式减持 2,005,000 股，占公司总股本的比例 0.5%。具体情况如下： 1 本公司董事会、全体董事及相关股东保证本公告内容不存在任何虚假记载、 误导性陈述或者重大遗漏，并对其内容的真实性、准确性和完整性依法承担法律 责任。 重要内容提示： 股东持股的基本情况 本次减持计划实施前，龙芯中科技术股份有限公司（以下简称"公司"）股 东利河伯资本管理（横琴）有限公司－横琴利禾博股权投资基金（有限合伙）（以 下简称"横琴利禾博"）持有公司股份 20,049,900 股，占公司总 ...

Group 1 - Longxin Zhongke and Antiy have completed the adaptation certification work for the Antiy WEB application protection system V3.0 [1] - The collaboration between Antiy's security protection technology and Longxin hardware provides customers with a stable, reliable, and secure domestic security protection solution [2] - The adapted environment utilizes the Longxin 3C5000 dual-server, paired with the Longxin operating system (Anolis0S-8.9-loongarch64-dvd), supporting up to 8 million concurrent sessions and achieving an application layer throughput of 5 Gbps with a connection rate of 60,000 connections per second [2]

证券代码：688047 证券简称：龙芯中科 | --- | --- | --- | |-----------------------------|--------------------------|----------------------------------------------------------| | | | | | | □ | 特定对象调研 □分析师会议 | | | □ | 媒体采访 □业绩说明会 | | 投资者关系活动类别 | □ 新闻发布会 □路演活动 | | | | √ 现场参观 | □其他 | | 参与单位名称 | 富国基金、华泰证券 | | | 时间 | 2024 年 11 月 13 | 日 | | 地点 | | 北京市海淀区中关村环保科技示范园龙芯产业园 2 号楼 | | 上市公司接待人员 | | 董事会秘书-李晓钰、证券事务代表-李琳 | | 投资者关系活动主要 内容介绍 | 1 | 、龙芯目前毛利率偏低，是否和规模效应有关？后续公司毛 | | | 利率是否会有提升？ | 是的，规模效应是一方面原因，当芯片销量不够高的时候， | | | | 单颗芯片分摊的固定成本会比较高。 ...

Investment Rating - The report maintains an "Add" rating for the company [2][3] Core Views - The company has a cost advantage due to its self-developed instruction architecture and core IP, which does not incur licensing fees. The performance of its desktop chip 3A6000 has improved by 60% in single-core and 100% in multi-core compared to 3A5000, and it has already been validated in the market with bulk sales. The server chip 3C6000 is expected to complete productization by Q2 2025 [3][4] - The company achieved a revenue of 308 million yuan in the first three quarters of 2024, a year-on-year decline of 21.94%, with a net loss attributable to shareholders of 343 million yuan, compared to a loss of 207 million yuan in the same period last year [4][5] - The company is focusing on enhancing its sales capabilities while maintaining R&D investments, with a gross margin of 29.97% in the first three quarters of 2024, down 5.82 percentage points year-on-year [5][6] Financial Summary - Revenue for 2024 is projected to be 674 million yuan, with a year-on-year growth of 33.3%. The net profit attributable to shareholders is expected to be a loss of 159 million yuan, improving from a loss of 329 million yuan in 2023 [2][4] - The gross margin is expected to improve to 42.5% in 2024 and further to 45.3% by 2026 [2][4] - The company’s cash flow from operating activities was -266 million yuan in the first three quarters of 2024, slightly better than -282 million yuan in the same period last year [5][6]