Chipsea(SH:688595) Zheng Quan Zhi Xing·2025-05-23 11:05Core Viewpoint - The credit rating agency maintains the credit rating of Chipsea Technology (Shenzhen) Co., Ltd. and its convertible bond at A+ with a stable outlook, reflecting the company's competitive position and growth potential despite facing industry challenges [1][5][8]. Company Overview - Chipsea Technology primarily engages in the design, research, and sales of analog signal chain chips, MCU chips, and AIoT chips, operating under a Fabless model [10][11]. - As of March 2025, the company reported total assets of 1.601 billion yuan and equity of 744 million yuan, with a debt-to-asset ratio of 53.53% [10][11]. Financial Performance - The company experienced a year-on-year increase in revenue and gross profit from its main chip business, benefiting from a recovery in downstream demand [7][10]. - In 2024, the company reported a total profit of -0.26 billion yuan, continuing to face negative profit margins due to increased share-based payment expenses and inventory write-downs [10][11]. Competitive Advantages - The company has enhanced its product technology and expanded sales scale, maintaining a competitive edge in high-precision ADC and reliable MCU design fields [7][8]. - In 2024, Chipsea Technology increased its R&D efforts in automotive MCU chips, computer peripherals, AIoT chips, and industrial-grade high-precision ADC chips, resulting in 61 new invention patents [7][8]. Industry Analysis - The integrated circuit design industry is experiencing growth driven by increasing demand in traditional and emerging sectors such as automotive electronics and 5G [15][16]. - The global integrated circuit sales are projected to recover in 2024, with a significant increase expected in 2025 due to advancements in AI, IoT, and electric vehicles [15][16]. Debt and Funding - The company issued the "Chipsea Convertible Bond" in July 2022, with a total amount of 410 million yuan, primarily used for R&D and working capital [11][12]. - As of March 31, 2025, the company had converted 2.5 million yuan of the convertible bond into shares, with a remaining convertible bond amount of 409.975 million yuan [11][12].