Core Viewpoint - The report from CICC indicates that Hillstone Technology (01478) has exceeded expectations in non-mobile CCM and FPM sales and profitability, leading to an upward revision of the company's profit forecasts for 2025 and 2026 by 44% and 41% to 702 million and 852 million HKD respectively [1] Group 1: Financial Performance - In 1H25, Hillstone's revenue increased by 15% year-on-year to 8.83 billion HKD, and net profit attributable to shareholders surged by 168% to 308 million HKD, surpassing CICC's previous expectations [2] - The significant profit growth is attributed to high sales of non-mobile CCM and FPM, as well as the turnaround of joint ventures from losses to profits [2] - The gross margin improved by 2.2 percentage points year-on-year to 7.4%, driven by better utilization rates and optimized product structure [2] Group 2: Product Performance - The sales of mobile-related products are being optimized, with the sales of periscope camera modules reaching 10.6 million units in 1H25, a year-on-year increase of 590% [3] - The company is focusing on high-end mobile business strategies, which are expected to drive revenue and profitability growth [3] Group 3: Non-Mobile Business Expansion - In 1H25, the sales of IoT and automotive CCM increased by 48%, with an upward revision of the annual guidance to a 60% year-on-year growth [4] - The company is establishing production capabilities in various fields such as XR and robotics through self-research, investment, and acquisitions, aiming to create a smart vision product platform [4]
中金：维持丘钛科技(01478)跑赢行业评级 升目标价至14.97港元