Investment Rating - The report maintains a positive outlook on the communication industry, emphasizing three main lines of investment: AI computing network differentiation, strengthening of the satellite industry, and optimization of the economic cycle [5][6]. Core Insights - The AI industry is evolving towards inference-driven models, with a diversified computing power solution landscape. The domestic supply chain for chips and modules is beginning to integrate, and the data center supply-demand inflection point has emerged [5][6]. - The satellite communication sector is experiencing significant catalysts, with a complete industry chain forming. Direct satellite connections are expected to drive growth in antennas, RF chips, and inter-satellite communication [5][6]. - The report identifies several high-quality cyclical stocks with confirmed growth and low valuations, particularly in sectors like Beidou navigation and controllers, suggesting a potential return of the investment "pendulum" [5][6]. Summary by Sections AI Computing Network - The AI computing network is highlighted as a key investment line, with operators actively building computing power and expected stable growth. High dividend yields continue to attract investors [5][6]. - The network equipment sector benefits from AI demand, with capital expenditures from operators and CSPs providing structural boosts [5][6]. - The optical device and chip industry is seeing continuous performance releases, driven by both domestic and international demand [5][6]. Satellite Communication - The satellite internet industry is undergoing intense catalysis, with multiple segments expected to maintain high value and high barrier attributes. The focus is on regular launch progress and commercialization [5][6]. Economic Cycle Optimization - The report emphasizes the recovery of demand in various sectors, including high-precision positioning and connectors, with significant growth expected in industrial automation and IoT driven by AI and robotics [5][6]. - The IDC sector is experiencing a structural supply-demand reversal, with core demand remaining in short supply, indicating a sustained high economic cycle [5][6]. Company Performance Predictions - The report forecasts significant profit growth for key companies in the communication sector for Q3 2025, with expected net profit growth rates exceeding 50% for several firms, including NewEase (220%), and 5.5G Canqin Technology (120%) [5][6]. - Companies like China Mobile and China Telecom are expected to maintain stable capital expenditures and improve return on equity through optimized revenue-cost dynamics [7][8]. Key Companies and Their Prospects - **China Mobile**: Focused on AI computing networks, with stable capital expenditure and improved ROE [7]. - **Zhongji Xuchuang**: Leading in optical modules, benefiting from AI computing demand [7]. - **NewEase**: Strong brand presence in optical communication, expected to benefit from AI computing network demand [7]. - **Tianfu Communication**: Anticipated to maintain high growth due to increasing demand for optical devices [7]. - **Zhongxing Communication**: Positioned well for growth through digital transformation and internal profit margin improvements [8]. This comprehensive analysis highlights the positive outlook for the communication industry, driven by advancements in AI, satellite technology, and cyclical recovery across various sectors.

Investment Rating - The report maintains a positive outlook on the communication industry, indicating an "Overweight" rating for the sector [2][22]. Core Insights - The report emphasizes three main lines for the communication industry in 2025: differentiation in computing networks, strengthening of the satellite industry, and optimization of the economic cycle [4][5]. - The AI industry is evolving towards inference-driven models, with a diversified approach to computing solutions. The supply-demand turning point for data centers has been observed, and technologies like liquid cooling are accelerating penetration [4][5]. - The satellite communication sector is experiencing intensive industry catalysis, forming a closed loop across the entire industry chain, with direct satellite connections expected to drive growth in antennas, RF chips, and inter-satellite communication [4][5]. - The report identifies several high-quality cyclical stocks with confirmed growth and low valuations, particularly in sectors like Beidou navigation and controllers, suggesting a return of the investment "pendulum" [4][5]. Summary by Sections Computing Network - The AI industry trend is shifting towards inference dominance, with the upstream supply chain for domestic chips and modules beginning to integrate [4]. - Data center supply-demand dynamics are changing, with liquid cooling technologies gaining traction [4][5]. Satellite Communication - The second half of 2024 marks a significant catalyst for the satellite communication industry, with a complete industry chain now established [4][5]. Economic Cycle Optimization - The report highlights the importance of downstream economic conditions, particularly in sectors like Beidou navigation and controllers, indicating a strong potential for cyclical stocks [4][5]. Performance Forecast for Key Companies - The report forecasts significant profit growth for key companies in the communication sector for Q3 2025, with expected net profit growth rates exceeding 50% for several firms, including NewEase (220%), and 5.5G Canqin Technology (120%) [4][14]. - Companies like China Mobile and China Telecom are expected to maintain stable capital expenditures, with a focus on AI computing networks [6][14]. Related Companies - Key companies identified include Zhongji Xuchuang, NewEase, and Huagong Technology in the AI computing network segment, and operators like China Mobile and China Telecom [4][6][14].

Core Viewpoint - Unisplendour Co., Ltd. announced a change in its independent financial advisor for a major asset restructuring, appointing Mr. Cui Denghui and Mr. Wang Yuming as the new lead advisors [2] Group 1 - The company has undergone a change in its independent financial advisor for the ongoing major asset restructuring [2] - The new independent financial advisors are Mr. Cui Denghui and Mr. Wang Yuming [2]

紫光股份有限公司（以下简称"公司"）全资子公司紫光国际信息技术有限 公司（以下简称"紫光国际"）以支付现金的方式向 H3C Holdings Limited 购买 所持有的新华三集团有限公司（以下简称"新华三"）29%股权，以支付现金的 方式向 Izar Holding Co 购买所持有的新华三 1%股权，合计以 2,142,834,885 美元 购买新华三 30%股权（以下简称"本次重大资产重组"）。本次重大资产重组已 于 2024 年 9 月实施完成，公司通过紫光国际持有的新华三股权比例由 51%增加 至 81%，具体内容详见公司于 2024 年 9 月 20 日披露的《关于重大资产购买之标 的资产完成过户的公告》（公告编号：2024-055）。 中信建投证券股份有限公司（以下简称"中信建投证券"）作为本次重大资 产重组独立财务顾问，持续督导期将于 2025 年 12 月 31 日届满。中信建投证券 原委派王志宇先生、崔登辉先生、王玉明先生三人担任独立财务顾问主办人。近 日，公司收到中信建投证券的通知，王志宇先生因工作变动不再担任本次重大资 产重组独立财务顾问主办人，由崔登辉先生、王玉明先生两人继续履行独 ...

Group 1 - The core viewpoint of the article highlights the robust demand in the internet industry, which has driven accelerated revenue growth for companies [1] - In Q2 2025, Unisplendour achieved operating revenue of 26.635 billion yuan, representing a year-on-year increase of 27.17% and a quarter-on-quarter increase of 28.12% [1] - The net profit attributable to the parent company for Unisplendour in Q2 2025 was 0.692 billion yuan, showing a year-on-year increase of 18.01% and a quarter-on-quarter increase of 98.64% [1] Group 2 - In H1 2025, New H3C achieved operating revenue of 36.404 billion yuan, with a year-on-year increase of 37.75% and a net profit of 1.851 billion yuan, reflecting a year-on-year increase of 2% [1] - The domestic government enterprise business revenue for New H3C was 31.035 billion yuan, marking a year-on-year increase of 53.55%, driven by the sustained growth in the internet industry and the company's comprehensive layout in internet vendors [1] - As of the end of H1 2025, inventory stood at 43.842 billion yuan, up 19.0% from the beginning of the year, while contract liabilities reached 15.912 billion yuan, an increase of 9.7% from the beginning of the year [1] Group 3 - The sales expense ratio, management expense ratio, R&D expense ratio, and financial expense ratio for the company in H1 2025 were 4.03%, 1.06%, 5.16%, and 1.50%, respectively, showing year-on-year changes of -1.42 percentage points, -0.16 percentage points, -1.19 percentage points, and +0.91 percentage points [1] - Based on comparable company valuations, a PE of 35 times for 2026 is suggested (previously 35 times for 2025), corresponding to a target price of 33.21 yuan, reflecting a decrease of 4% [1] - The company maintains an "outperform the market" rating [1]

Core Viewpoint - The report from Haitong International indicates that strong demand in the internet industry is driving accelerated revenue growth for companies, particularly for Unisplendour and New H3C [1] Group 1: Company Performance - Unisplendour achieved operating revenue of 26.635 billion yuan in Q2 2025, representing a year-on-year increase of 27.17% and a quarter-on-quarter increase of 28.12% [1] - The net profit attributable to the parent company for Unisplendour in Q2 2025 was 0.692 billion yuan, reflecting a year-on-year increase of 18.01% and a quarter-on-quarter increase of 98.64% [1] - New H3C reported operating revenue of 36.404 billion yuan in H1 2025, with a year-on-year increase of 37.75% and a net profit of 1.851 billion yuan, showing a year-on-year increase of 2% [1] Group 2: Business Segments - Domestic government enterprise business revenue for New H3C reached 31.035 billion yuan in H1 2025, marking a year-on-year increase of 53.55%, driven by sustained growth in the internet industry and comprehensive layout among internet vendors [1] - Inventory and contract liabilities remain high, indicating a robust industry outlook, with inventory at 43.842 billion yuan at the end of H1 2025, up 19.0% from the beginning of the year, and contract liabilities at 15.912 billion yuan, up 9.7% [1] Group 3: Financial Ratios and Valuation - For H1 2025, the sales expense ratio, management expense ratio, R&D expense ratio, and financial expense ratio for the company were 4.03%, 1.06%, 5.16%, and 1.50%, respectively, with year-on-year changes of -1.42 percentage points, -0.16 percentage points, -1.19 percentage points, and +0.91 percentage points [1] - Based on comparable company valuations, a PE of 35 times for 2026 is suggested (previously 35 times for 2025), leading to a target price of 33.21 yuan, reflecting a decrease of 4%, while maintaining an "outperform the market" rating [1]

Investment Rating - The report maintains an "Outperform" rating for the company, projecting significant revenue and profit growth over the next few years [3][7]. Core Insights - The company is expected to achieve revenues of RMB 95.2 billion, RMB 114.7 billion, and RMB 136.2 billion for the years 2025, 2026, and 2027 respectively, with net profits attributable to shareholders of RMB 2.04 billion, RMB 2.71 billion, and RMB 3.36 billion during the same period [3][7]. - The quarterly revenue has shown acceleration, with a 24.96% year-on-year increase in 2025H1, reaching RMB 47.43 billion [3][7]. - The growth in the internet business is significant, with a 37.75% increase in revenue for New H3C in 2025H1, driven by strong demand in the internet sector [3][7]. Financial Summary - The total revenue for 2023 is projected at RMB 77.31 billion, with a growth rate of 4.4%. By 2027, revenue is expected to reach RMB 136.23 billion, reflecting an 18.8% growth rate [2][4]. - Net profit attributable to shareholders is forecasted to decline to RMB 2.10 billion in 2023, but is expected to recover to RMB 3.36 billion by 2027, with corresponding EPS increasing from RMB 0.74 to RMB 1.17 [2][4]. - The gross profit margin for 2025H1 was reported at 15.24%, a decrease of 3.80 percentage points year-on-year [3][7]. Business Segments - The domestic government and enterprise revenue for New H3C reached RMB 31.04 billion in 2025H1, a 53.55% increase, while international revenue grew by 60.25% to RMB 1.92 billion [3][7]. - The ICT infrastructure and services revenue was RMB 36.04 billion in 2025H1, with a gross profit margin of 18.06%, down 6.32 percentage points year-on-year [3][7]. Inventory and Liabilities - As of the end of 2025H1, inventory stood at RMB 43.84 billion, up 19.0% from the beginning of the year, while contractual liabilities increased by 9.7% to RMB 15.91 billion [3][7].

Investment Rating - The report suggests to continue focusing on investment opportunities within the communication industry [2] Core Insights - The communication industry showed steady revenue growth and accelerated profitability in H1 2025, with total revenue reaching 1785.003 billion yuan, a year-on-year increase of 10.07%, and net profit attributable to shareholders at 160.432 billion yuan, up 11.26% year-on-year [4][7] - The AI computing industry chain is expected to continue accelerating its development in 2025, benefiting the communication industry [17][19] Summary by Sections H1 2025 Performance Overview - The communication industry achieved a total revenue of 1785.003 billion yuan in H1 2025, with a year-on-year growth of 10.07%, and a net profit of 160.432 billion yuan, reflecting an 11.26% increase [4][7] Segment Performance Changes - In H1 2025, the optical module and device segment reported revenue of 47.988 billion yuan, a year-on-year increase of 64.88%, and net profit of 10.876 billion yuan, up 111.99% [25] - The communication PCB segment achieved revenue of 57.249 billion yuan, a year-on-year increase of 37.66%, and net profit of 8.058 billion yuan, up 80.79% [31] - The network equipment segment generated revenue of 507.111 billion yuan, a year-on-year increase of 28.86%, with net profit of 19.184 billion yuan, up 19.57% [37] AI Industry Chain Investment - Major overseas cloud companies are expected to maintain optimistic growth in capital expenditures, with a total of 95 billion USD in Q2 2025, reflecting an 82.96% year-on-year increase [17] - Companies like Oracle and Nvidia are showing strong growth prospects in their AI-related businesses, with Oracle's unfulfilled revenue reaching 455 billion USD, a year-on-year increase of 359% [22][19]

Investment Rating - The industry investment rating is "Positive" [4][19] Core Views - The telecommunications industry is benefiting from the ongoing Digital China strategy, leading to stable growth in overall business for operators, with innovative services experiencing higher growth rates and increasing proportions [2] - The AI computing power sector continues to thrive globally, with significant investments from major companies, indicating a rapid growth period for domestic computing power targets [4] - New growth drivers such as satellite internet are injecting new momentum into the industry, providing additional performance elasticity [4] Summary by Relevant Sections Telecom Operators - China Mobile is expected to report Q3 revenue of CNY 245.1 billion to CNY 246 billion, a year-on-year growth of 0.2% to 0.5%, with net profit of CNY 32.1 billion to CNY 32.4 billion, a growth of 4.6% to 5.6% [2][16] - China Telecom is projected to achieve Q3 revenue of CNY 127.2 billion to CNY 128.5 billion, a growth of 1% to 2%, with net profit of CNY 7.75 billion to CNY 8.05 billion, a growth of 3.5% to 7.5% [2][16] - China Unicom's Q3 revenue is expected to be CNY 93.7 billion to CNY 94.6 billion, with a growth of 1% to 2%, and net profit of CNY 2.41 billion to CNY 2.49 billion, a growth of 4.8% to 8.3% [3][16] - China Tower is anticipated to report Q3 revenue of CNY 24.9 billion to CNY 25.2 billion, a growth of 2.9% to 4.1%, with net profit of CNY 2.97 billion to CNY 3.05 billion, a growth of 5.2% to 8% [3][16] AI and Network Connectivity - The AI optical module sector is experiencing significant growth, with companies like Zhongji Xuchuang expected to report Q3 revenue of CNY 8.9 billion to CNY 9.6 billion, a growth of 37% to 47%, and net profit of CNY 2.9 billion to CNY 3.2 billion, a growth of 108% to 130% [4][16] - Tianfu Communication is projected to achieve Q3 revenue of CNY 1.8 billion to CNY 2.1 billion, a growth of 115% to 150%, with net profit of CNY 650 million to CNY 750 million, a growth of 102% to 133% [5][16] AI Applications and Data Centers - AI server demand is rapidly increasing, with ZTE expected to report Q3 revenue of CNY 31 billion to CNY 32 billion, a growth of 12% to 16%, and net profit of CNY 1.95 billion to CNY 2.1 billion, a decrease of 3% to 10% [7][16] - The AIDC sector is also growing, with Keda Data expected to report Q3 revenue of CNY 24 billion to CNY 27 billion, a growth of 44% to 62%, and net profit of CNY 180 million to CNY 230 million, a growth of 1347% to 1748% [8][16] Satellite Internet and Military Communication - The military communication sector is expected to see increased investment due to regional tensions, with companies like Zhenlei Technology projected to report Q3 revenue of CNY 150 million to CNY 160 million, a growth of 125% to 141%, and net profit of CNY 45 million to CNY 50 million, a growth of 409% to 466% [10][16]

Core Insights - The Chinese accelerated server market is projected to reach $16 billion in the first half of 2025, more than doubling from the first half of 2024, with expectations to exceed $140 billion by 2029 [1] Market Overview - In terms of vendor sales, Inspur, H3C, and Lenovo occupy the top three positions, accounting for nearly 50% of the market share [1] - From the perspective of server shipment volume, Inspur, H3C, and Ningchang lead the market, holding approximately 43% of the market share [1] Industry Segmentation - The internet sector remains the largest purchasing industry, representing nearly 69% of the overall accelerated server market, with significant growth observed in finance, education, telecommunications, and healthcare sectors, all exceeding 100% growth [1] Chip Market Insights - The market for accelerated chips in China is expected to exceed 1.9 million units in the first half of 2025 [1] Competitive Landscape - The Chinese AI accelerated server market is currently undergoing a phase of scale expansion and domestic substitution, with a need for breakthroughs in high-end computing efficiency and ecosystem maturity [1] - Future competition will shift focus from single-chip performance to system efficiency, open ecosystem collaboration, and green computing cost control [1] - The industry is encouraged to avoid low-level redundant construction and enhance international competitiveness through technological collaboration and standard optimization [1]