SMIC(SH:688981) 2 1 Shi Ji Jing Ji Bao Dao·2025-06-12 10:49Group 1: Core Views - The semiconductor industry in A-shares is witnessing a significant restructuring case with Guokewai's acquisition of 94.366% of Zhongxin Integrated Circuit (Ningbo) Co., Ltd, which has sparked strong reactions in the capital market and industry [1] - The acquisition is seen as a strategic move for Guokewai to transition towards a full industry chain model of "chip design + wafer processing," leading to a stock price increase of over 5% on the first trading day after the announcement [1][2] - However, concerns arise regarding Zhongxin Ningbo's financial performance, with cumulative losses exceeding 1.6 billion yuan in 2023 and 2024, raising questions about whether the acquisition is a well-thought-out strategic expansion or a risky gamble [1][2] Group 2: Company Performance and Market Position - Guokewai operates as a fabless chip design company, focusing on AI, multimedia, automotive electronics, IoT, and data storage solutions, but has faced declining profits since 2022 due to cyclical impacts in the semiconductor industry [2][3] - In 2022, Guokewai reported a net profit of 151.9 million yuan, down 48.18% year-on-year, and in 2023, the net profit further declined to 96.07 million yuan, a 36.74% drop [2] - The company aims to enhance its competitive edge by acquiring Zhongxin Ningbo to build an IDM model, allowing it to design and manufacture chips independently, thus improving efficiency and control [4] Group 3: Strategic Implications of the Acquisition - The acquisition is expected to provide Guokewai with advanced wafer manufacturing and packaging technology, enhancing its product design capabilities and market competitiveness [3][5] - Zhongxin Ningbo specializes in producing BAW filters, which are critical components in 5G communication, IoT, and automotive electronics, and its unique technology has the potential to break overseas monopolies [5] - Guokewai's acquisition aligns with national policies encouraging such mergers, potentially leading to government subsidies and tax benefits [4] Group 4: Financial Considerations and Future Outlook - Zhongxin Ningbo's financial performance has been poor, with projected revenues of 213 million yuan in 2023 and 454 million yuan in 2024, alongside significant net losses [7][8] - Guokewai acknowledges that the acquisition may lead to short-term losses due to Zhongxin Ningbo's current financial state, but anticipates long-term benefits from improved production capacity and product structure [9][10] - Analysts remain optimistic about Guokewai's future profitability, with several institutions raising their profit forecasts for the company following the acquisition announcement [10]