VGT(SZ:300476) Chang Jiang Shang Bao·2025-05-19 00:51Core Viewpoint - The company, Shenghong Technology, is making significant investments to enhance its core competitiveness and ensure sustainable development, particularly in response to the growing demand for AI computing hardware [1][4]. Group 1: Investment Plans - Shenghong Technology plans to invest no more than 3 billion yuan in 2025 for fixed assets and intangible assets, focusing on new factory construction, equipment procurement, and automation line upgrades [1][4]. - The investment is seen as a strategic move to accelerate the release of AI computing hardware capacity and deepen global expansion [1][4]. Group 2: Financial Performance - In Q1 2025, Shenghong Technology achieved a revenue of 4.312 billion yuan, representing an 80.31% year-on-year increase, and a net profit of 921 million yuan, up 339.22% year-on-year [2][3]. - For the full year 2024, the company reported a revenue of 10.73 billion yuan, a 35.31% increase, and a net profit of 1.154 billion yuan, a 71.96% increase [2][3]. - The company's gross margin rose to 33.37%, up 13.89 percentage points year-on-year, while the net margin reached 21.35%, up 12.58 percentage points year-on-year, significantly exceeding the global PCB industry average of 10%-15% [2][3]. Group 3: Market Outlook - Shenghong Technology anticipates continued growth in downstream industries such as automotive electronics and server/data storage, driven by AI, which will support high growth in multilayer boards and packaging substrates [3]. - The company expects a quarter-on-quarter net profit growth of no less than 30% in Q2 2025, with a year-on-year increase exceeding 360% for the first half of 2025 [3]. Group 4: Capacity Expansion and Globalization - To meet the surge in orders, Shenghong Technology is accelerating capacity expansion, with plans to raise up to 1.98 billion yuan through a stock issuance for overseas projects in Vietnam and Thailand [4]. - The company has a strong order backlog and a good capacity utilization rate, with new capacity expected to come online in June 2025, significantly enhancing its high-end HDI and multilayer production capabilities [4]. - Shenghong Technology has been focusing on globalization, with over 50% of its orders coming from overseas, achieved through acquisitions and investments in foreign factories [4]. Group 5: R&D and Innovation - The company has invested over 2 billion yuan in R&D since its listing, establishing comprehensive technological capabilities across the PCB industry chain [4][5]. - Shenghong Technology holds 399 patents, with innovations in AI computing, robotics, low-altitude economy, and autonomous driving, and has established partnerships with leading companies in the humanoid robotics sector [5]. - The company plans to continue increasing R&D investment to enhance product competitiveness and provide high-quality products and services to global customers [5].