Core Insights - The performance of companies in the integrated circuit sector on the STAR Market has shown significant growth, reflecting the optimization and upgrading of China's economic structure [1] - The demand for AI computing power has surged, leading to substantial growth in general-purpose chips such as servers and CPUs [1][2] Group 1: Integrated Circuit Companies - A total of 120 integrated circuit companies on the STAR Market achieved a combined revenue of 160.04 billion yuan in the first half of the year, representing a year-on-year growth of 24% [1] - The net profit attributable to shareholders reached 13.1 billion yuan, with a year-on-year increase of 62% [1] - The second quarter saw a revenue and net profit growth of 17% and 72% respectively, indicating a robust recovery [1] Group 2: AI Chip Companies - Companies like Cambricon Technologies reported a revenue of 2.881 billion yuan in the first half of the year, a staggering increase of 4,300% year-on-year [2] - Haiguang Information Technology achieved a revenue of 5.464 billion yuan and a net profit of 1.201 billion yuan, with year-on-year growth rates of 45% and 41% respectively [2] - Advanced packaging companies such as Yongxi Electronics saw a revenue increase of 23.37% and a net profit surge of 150.45% [2] Group 3: Audio and Imaging Companies - TaiLing Microelectronics reported a revenue of 503 million yuan, a year-on-year increase of 37.72%, and a net profit of 101 million yuan, up 274.58% [3] - STMicroelectronics achieved a revenue of 3.786 billion yuan and a net profit of 397 million yuan, with year-on-year growth of 54.11% and 164.93% respectively [3] - Hengxuan Technology's revenue reached 1.938 billion yuan, growing 26.58% year-on-year, with a net profit increase of 106.45% [3] Group 4: Wafer Manufacturing Companies - The four wafer foundry companies on the STAR Market achieved a combined revenue of 49.059 billion yuan, a year-on-year growth of 21.80%, and a net profit of 2.537 billion yuan, up 55.89% [4] - SMIC reported a revenue of 32.348 billion yuan, a 23.14% increase, and a net profit of 1.646 billion yuan, growing 39.76% [4] - Hefei Integrated Circuit's revenue and net profit reached 5.198 billion yuan and 332 million yuan, with year-on-year growth of 18.21% and 77.61% respectively [4] Group 5: Mergers and Acquisitions - Leading wafer companies are pursuing mergers and acquisitions to enhance growth and acquire quality capacity and technology [5][6] - Huahong Semiconductor plans to integrate Shanghai Huahong Microelectronics, which is expected to add 38,000 pieces/month of new capacity [6] - Chip Alliance's acquisition of minority stakes in Xinchuan Integrated Circuit Manufacturing is expected to enhance service capabilities in emerging markets like new energy vehicles [6] Group 6: Equipment and Materials Sector - The semiconductor equipment sector continues to thrive due to strong domestic substitution demand and technological breakthroughs [7] - Companies like Zhongwei Semiconductor Equipment reported a revenue increase of approximately 40.12% to 3.781 billion yuan [7] - The materials segment also showed strong growth, with leading companies like Anji Microelectronics achieving a revenue increase of 43.17% [7]

Core Viewpoint - The company will hold an investor briefing to discuss its 2025 semi-annual performance and financial indicators, allowing for interactive communication with investors [2][3][4]. Group 1: Meeting Details - The investor briefing is scheduled for September 10, 2025, from 15:00 to 17:00 [4]. - The meeting will be conducted in an online text interaction format [3][4]. - Investors can submit questions until September 9, 2025, at 16:00 through the Shanghai Stock Exchange Roadshow Center or via the company's email [2][4]. Group 2: Participants - Key participants include the Chairman, Cai Guozhi, and other board members such as Zhu Caiwei, the Secretary of the Board and Financial Officer, and independent director An Guangshi [5]. Group 3: Additional Information - After the investor briefing, participants can access the meeting's details and main content through the Shanghai Stock Exchange Roadshow Center [6].

Core Viewpoint - The company will participate in the 2025 semi-annual performance briefing to provide insights into its operational results and financial status for the first half of 2025 [2][3]. Group 1: Meeting Details - The meeting is scheduled for September 10, 2025, from 15:00 to 17:00 [1][2]. - It will be conducted in an online text interaction format [2][3]. - Investors can log in to the Shanghai Stock Exchange Roadshow Center to participate [2][3]. Group 2: Participation and Contact Information - Key participants include the Chairman, the Secretary of the Board, the Financial Officer, and an Independent Director [3]. - For inquiries, investors can contact the Securities Affairs Department via phone or email [3].

Investment Rating - The report maintains a "Buy" rating for the company, expecting a relative increase in stock price of over 20% compared to the benchmark index within the next six months [7][15]. Core Views - The company has shown a continuous increase in revenue and profit, with H1 2025 revenue reaching 5.198 billion yuan, up 18.21% year-on-year, and net profit attributable to shareholders at 332 million yuan, up 77.61% year-on-year [3][4]. - The company is actively expanding its product offerings, particularly in CIS and PMIC segments, which are increasingly contributing to revenue [5][6]. - The company is also making significant advancements in new product development, particularly in OLED display driver chips, with expectations for mass production by the end of 2025 [6]. Company Overview - The latest closing price of the company's stock is 24.89 yuan, with a total market capitalization of 49.9 billion yuan [2]. - The company has a total share capital of 2.006 billion shares, with 1.187 billion shares in circulation [2]. - The company's asset-liability ratio stands at 48.2%, and the current P/E ratio is 92.19 [2]. Financial Performance - For H1 2025, the company achieved a comprehensive gross margin of 25.76% [4]. - The main business revenue for H1 2025 was 5.130 billion yuan, with a significant portion coming from various process nodes and application products [5]. - Revenue projections for 2025, 2026, and 2027 are estimated at 10.864 billion yuan, 12.485 billion yuan, and 14.153 billion yuan, respectively, with net profits expected to be 854 million yuan, 1.256 billion yuan, and 1.526 billion yuan [7][11].

本公司董事会及全体董事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： 投资者可在 2025 年 9 月 9 日（星期二）16:00 前登录上证路演中心网站首 页点击"提问预征集"栏目或通过公司邮箱（stock@nexchip.com.cn）进行提问。 公司将在业绩说明会文字互动环节对投资者普遍关注的问题进行回答。 合肥晶合集成电路股份有限公司（以下简称"公司"）已于 2025 年 8 月 29 日 披露公司 2025 年半年度报告，为便于广大投资者更全面深入地了解公司 2025 年半 年度的经营成果、财务状况以及发展理念，公司将参加由上海证券交易所主办的 "2025 年半年度科创板半导体设备及材料行业集体业绩说明会"，此次活动将以网 络文字互动的方式举行，投资者届时可登录上海证券交易所上证路演中心 （http://roadshow.sseinfo.com/）参与网络文字互动交流。 一、说明会类型 本次投资者说明会以网络文字互动形式召开，公司将针对 2025 年半年度的经 营成果及财务指标的具体情况与投资者进行互动交流和沟通，在信 ...

Core Viewpoint - The report highlights the rapid growth of Jinghe Integrated Circuit's performance in the first half of 2025, with a significant increase in revenue and net profit, driven by higher sales volume and improved production efficiency [2][9]. Financial Performance - In the first half of 2025, the company achieved operating revenue of 5.198 billion yuan, an 18.21% increase compared to 4.398 billion yuan in the same period of 2024 [2]. - The net profit attributable to shareholders reached 332 million yuan, marking a 77.61% increase from 187 million yuan in the first half of 2024 [2]. - The increase in net profit and non-recurring net profit is attributed to revenue growth, high capacity utilization, reduced unit sales costs, and improved gross profit margins [2]. Market Position - The company holds a leading position in the global market for LCD panel display driver chip foundry, ranking ninth globally and third among mainland Chinese companies [3]. - The company is actively expanding into the OLED display driver chip foundry market, with expectations of increasing shipment volumes as OLED panel demand rises [3][4]. Product Development - The company has successfully commenced mass production of its 40nm high-voltage OLED display driver chips and is making progress on the 28nm OLED display driver chips, which are expected to enter risk production by the end of 2025 [4]. - The company’s CIS products cover process nodes from 90nm to 55nm, with the 55nm CIS chips being widely used in smartphone cameras [6]. Industry Trends - The global CIS market is projected to grow to 27 billion USD by 2029, with a compound annual growth rate of 6% from 2023 to 2029, driven by demand in smartphones and the automotive sector [5]. - The company is enhancing its product variety and optimizing its product structure to improve gross profit levels, with a significant portion of revenue coming from DDIC and CIS products [7]. Investment Outlook - Revenue projections for the company from 2025 to 2027 are estimated at 11.169 billion yuan, 12.715 billion yuan, and 14.184 billion yuan, respectively, with net profits expected to be 990 million yuan, 1.297 billion yuan, and 1.485 billion yuan [9].

Core Viewpoint - The company, Jinghe Integrated (688249), is actively expanding its production capacity and has made significant advancements in its research and development, particularly in the semiconductor sector, with a focus on CIS and OLED display driver chips. Production Expansion - The company plans to expand production by approximately 20,000 wafers per month in the second half of the year [2] - All necessary equipment for the production expansion has been ordered and will be installed according to the capacity expansion plan [9] Research and Development Progress - The company has successfully mass-produced 55nm stacked CIS and expects to continue increasing output [3] - The 40nm OLED display driver chip has also entered mass production and is anticipated to contribute to revenue starting in the first half of 2025, with gradual ramp-up in the second half [3] - The 28nm OLED display driver chip is expected to enter risk production by the end of 2025 [3] - R&D investment in the first half of 2025 increased by 13.13% year-on-year, with stable growth expected in the coming years [8] Strategic Partnerships - The investment from Huakin, a leading company in the smart hardware ODM industry, is expected to enhance resource integration and collaboration along the supply chain, benefiting Jinghe's product validation and market ramp-up [4] Automotive Product Development - The company has successfully applied several products, including DDIC, CIS, PMIC, and MCU, in the automotive sector, all of which have achieved mass production [6] Financial Performance - For the first half of 2025, the company reported a main revenue of 5.198 billion yuan, an increase of 18.21% year-on-year, and a net profit of 332 million yuan, up 77.61% year-on-year [9] - The second quarter of 2025 saw a single-quarter main revenue of 2.631 billion yuan, a year-on-year increase of 21.24%, and a net profit of 197 million yuan, up 82.52% year-on-year [9] - The company's debt ratio stands at 48.95%, with a gross profit margin of 25.76% [9] Market Sentiment - In the last 90 days, two institutions have rated the stock, with one buy rating and one hold rating, and the average target price set at 32.22 yuan [10]

Investment Rating - The report maintains a "Strong Buy" rating for the company, with a target price of 32.1 yuan [2][7]. Core Views - The company achieved a revenue of 5.198 billion yuan in H1 2025, representing a year-on-year growth of 18.21%. The net profit attributable to shareholders reached 332 million yuan, up 77.61% year-on-year [7]. - The demand for the company's products is driven by the acceleration of domestic substitution in CIS, growth in automotive semiconductors, and power management chips, alongside the release of new products [7]. - The company’s product structure is continuously optimized, with DDIC, CIS, PMIC, MCU, and Logic contributing 60.61%, 20.51%, 12.07%, 2.14%, and 4.09% to the main business revenue respectively [7]. - The company’s R&D investment reached 695 million yuan in H1 2025, a year-on-year increase of 13.13%, indicating a strong focus on enhancing technological capabilities [7]. Financial Summary - Total revenue projections for 2024A, 2025E, 2026E, and 2027E are 9,249 million yuan, 11,557 million yuan, 13,303 million yuan, and 14,437 million yuan respectively, with corresponding growth rates of 27.7%, 24.9%, 15.1%, and 8.5% [3][8]. - Net profit attributable to shareholders is forecasted to be 533 million yuan, 807 million yuan, 1,119 million yuan, and 1,404 million yuan for the same years, with growth rates of 151.8%, 51.5%, 38.6%, and 25.4% respectively [3][8]. - The company’s earnings per share (EPS) are projected to be 0.27 yuan, 0.40 yuan, 0.56 yuan, and 0.70 yuan for 2024A, 2025E, 2026E, and 2027E respectively [3][8].

Summary of Nexchip Earnings Call Company Overview - **Company**: Nexchip (688249.SS) - **Industry**: Semiconductor manufacturing Key Financial Metrics - **2Q25 Revenues**: Rmb2.6 billion, representing a **21% YoY** increase and a **2% QoQ** increase [1][2] - **Net Income**: Rmb197 million, up **83% YoY** and **45% QoQ** [1][2] - **Gross Margin (GM)**: 24.3%, down from the previous quarter due to increased depreciation and amortization (D&A) expenses [1][2] Core Insights - **Production Capacity**: Nexchip is ramping up production with new capacities, particularly in 40nm and 28nm technologies, which are expected to contribute significantly to revenue growth [1][2][13] - **Product Mix Improvement**: The revenue contribution from Display Driver ICs (DDIC) has decreased to 61% in 1H25, while contributions from Camera Image Sensors (CIS) and Power Management ICs (PMIC) are increasing [2][10] - **Future Outlook**: Management anticipates adding another 20k wafer per month (wpm) in 2H25, bringing total capacity to 160k wpm, with 28nm mass production expected to start by early 2026 [13] Earnings Revision - **Earnings Forecast**: Earnings for 2025-2027 have been revised down by **4% to 6%** mainly due to lower revenues from DDIC products, but revenue growth is still expected at **19%**, **32%**, and **16%** for 2025, 2026, and 2027 respectively [10][11] - **Gross Margin Adjustments**: GM estimates have been cut by **2.7ppts**, **0.2ppts**, and **0.1ppts** for 2025-2027 due to rising D&A expenses [10] Market Position and Valuation - **Target Price**: Updated to Rmb28.6, based on a target P/E of **43x** for 2026E, reflecting a strong growth outlook compared to peers [14][19] - **Peer Comparison**: Nexchip's average earnings growth is projected at **48% YoY** in 2026-2027, positioning it favorably against competitors like SMIC and UMC [16] Risks and Challenges - **Potential Risks**: Slower-than-expected capacity expansion, weaker demand in DDIC and CIS markets, and intense competition are noted as key risks [19] Additional Insights - **ASP Stability**: Management indicated that while utilization rates are strong, they do not plan to raise prices proactively due to ongoing market competition [13] - **Strategic Partnerships**: Collaborations with clients, such as SmartSens, are expected to secure orders and enhance product offerings [1][13] This summary encapsulates the essential points from the earnings call, highlighting Nexchip's financial performance, strategic direction, and market outlook.

Investment Rating - The report indicates a positive outlook for the domestic AI infrastructure investment market, with a projected investment space of approximately $50 billion and a compound annual growth rate (CAGR) of 50% [1][4]. Core Insights - The report highlights significant growth opportunities for domestic computing power chip manufacturers, driven by the anticipated demand from core internet companies and large model vendors [1][6]. - Alibaba's substantial capital expenditure increase, with a three-year investment target of 380 billion yuan, reflects its commitment to computing power investment, bolstering market confidence in domestic AI chip development [5][6]. - The report anticipates that the demand for domestic computing power in 2026 will be primarily driven by the growth in token consumption by core internet companies and large model vendors, as well as emerging multimodal applications [6][7]. Summary by Sections AI Infrastructure Investment - Nvidia estimates that the AI infrastructure investment space in mainland China is around $50 billion, with a potential chip market of $20 to $30 billion, indicating a robust growth trajectory for domestic chip manufacturers [1][4]. Alibaba's Capital Expenditure - Alibaba's capital expenditure has significantly increased, with a target of 380 billion yuan over three years, showcasing its determination in computing power investment and enhancing market sentiment towards domestic AI chips [5][6]. Future Demand Drivers - The primary drivers for domestic computing power demand in 2026 include significant growth in token consumption by core internet companies and large model vendors, alongside new multimodal applications like video generation and coding tools [6][7]. Edge AI in Consumer Electronics - Edge AI currently has low attention in consumer electronics, but with the explosion of cloud computing power and advancements from major players like Apple and Meta, products such as smartphones and glasses are expected to become important entry points for edge AI hardware [8]. Server Assembly and PCB Sector Changes - Industrial Fulian is benefiting from the growth in AI server volumes and increased profits per cabinet, driven by the release of GB200 and expectations for GB300 [9][10]. - The PCB sector is experiencing a high demand environment, with a focus on the share of different manufacturers in NV and AC customers, as well as the verification rhythm of CP300 [10].