华鑫证券：首次覆盖火炬电子给予买入评级

Core Viewpoint - Torch Electronics has shown resilience in capacitor sales despite a downturn in overall industry demand, with significant growth in key product segments and promising prospects in high-performance materials [1][2]. Group 1: Financial Performance - In Q1 2025, Torch Electronics achieved revenue of 762 million yuan, representing a year-on-year increase of 16.96% and a quarter-on-quarter increase of 17.19% [1][2]. - The net profit attributable to shareholders reached 107 million yuan, marking a year-on-year growth of 43.60% and a remarkable quarter-on-quarter increase of 439.25% [1][2]. Group 2: Market Dynamics - Despite a general decline in orders due to low industry sentiment in 2024, sales of pulse capacitors, tantalum capacitors, and supercapacitors have increased, indicating a recovery in downstream demand [2]. - The company has established a stable competitive landscape in the special electronic components market, which has high entry barriers due to stringent requirements for confidentiality and reliability [2]. Group 3: Product Development and Applications - Torch Electronics is among the first companies in China to obtain aerospace-grade MLCC certification, actively engaging in both military and civilian markets [3]. - The company is focusing on expanding its market presence in power grids, rail transportation, industrial control, and new energy sectors [3]. Group 4: Future Growth Potential - The company’s special high-performance materials, which have advantages such as high-temperature resistance and low density, are expected to see significant growth opportunities, particularly in aerospace applications [4]. - The forecasted revenues for 2025, 2026, and 2027 are 3.928 billion yuan, 4.893 billion yuan, and 6.201 billion yuan, respectively, with corresponding EPS of 1.01 yuan, 1.31 yuan, and 1.72 yuan [5].