Champion Asia(SH:603386) Zheng Quan Zhi Xing·2025-07-06 16:14Core Viewpoint - Guangdong Junya Electronics Technology Co., Ltd. has experienced a decline in revenue and net profit for three consecutive years, with a reported loss in 2024, primarily due to challenges in the printed circuit board (PCB) sector [2][18]. Group 1: Financial Performance - The company's revenue from PCB products decreased from 2.34 billion yuan in 2022 to 2.08 billion yuan in 2024, reflecting a downward trend in profitability [2][16]. - The gross profit margin for PCB products dropped from 16.14% in 2023 to 9.30% in 2024, indicating significant pressure on margins [16][17]. - The company reported a total revenue of 2.20 billion yuan in 2024, down from 2.30 billion yuan in 2023, with a total cost of 1.99 billion yuan [16][19]. Group 2: Customer and Supplier Dynamics - The top ten customers for 2024 accounted for 32.43% of total sales, with significant changes in customer composition due to market conditions [2][6]. - Major customers such as Weichuangli and Souluan experienced order declines due to inventory destocking in the overseas photovoltaic sector and international trade impacts [2][6]. - The top ten suppliers accounted for 50.14% of total purchases, with changes driven by procurement strategy adjustments and supplier performance [6][7]. Group 3: Production and Cost Structure - PCB production volume decreased from 3.11 million square meters in 2023 to 2.97 million square meters in 2024, while sales volume also declined [8][12]. - The cost structure for PCB products remained stable, with direct materials accounting for 66.06% of total costs in 2024, up from 64.37% in 2023 [8][12]. - The average procurement prices for key raw materials such as copper foil and gold salt increased, contributing to higher production costs [11][20]. Group 4: Industry Context - The global PCB market is projected to grow, with a forecasted value of $73.57 billion in 2024, driven by demand in sectors like AI and electric vehicles [13][17]. - The PCB industry faces intense competition, with over 2,200 manufacturers globally, leading to price erosion and margin pressures [14][15]. - Despite a recovery in the PCB market, the company struggles with specific customer demand and competitive pricing strategies, impacting overall profitability [20].