VGT(SZ:300476) Xin Lang Cai Jing·2025-08-22 07:38Core Viewpoint - Shenghong Technology has submitted an application for listing on the Hong Kong Stock Exchange, with significant growth in stock price and performance driven by its focus on AI and high-performance computing PCBs [1][3]. Group 1: Company Overview - Shenghong Technology is a supplier of PCBs for artificial intelligence and high-performance computing, specializing in high-end HDI and multi-layer PCBs, serving over 350 global clients [2][4]. - The company has seen its stock price increase by over 400% in 2023, becoming a "10x stock" [3]. Group 2: Financial Performance - Revenue figures for Shenghong Technology from 2022 to Q1 2025 are as follows: RMB 7.885 billion, RMB 7.931 billion, RMB 10.731 billion, and RMB 4.312 billion, with corresponding net profits of RMB 791 million, RMB 671 million, RMB 1.154 billion, and RMB 921 million [2]. - The gross profit margins have improved significantly, with rates of 18.15%, 20.72%, 22.72%, and 19.49% for the respective years, and a notable increase to 33.37% in Q1 2025 [2]. Group 3: Market Position and Growth Drivers - Shenghong Technology has established itself as a market leader in the global AI and high-performance computing PCB sector, with a market share exceeding 50% in its segment [4]. - The company has secured major clients, including NVIDIA, AMD, and Tesla, and has seen a substantial increase in orders from NVIDIA, accounting for over 70% of its orders in Q1 2025 [4]. Group 4: Expansion and Investment Plans - The company plans to use funds from its Hong Kong IPO to expand production capabilities in mainland China and establish new facilities in Thailand and Vietnam [6][7]. - Shenghong Technology aims to invest up to USD 2.6 billion in Vietnam for high-end HDI products and has already acquired APCB Electronics for its Thai production base [6][7].