Fuxin Technology(SH:688662) Tianfeng Securities·2024-07-25 08:07Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for the stock over the next six months [3][10]. Core Views - The company is expected to achieve significant revenue growth in Q2, with projected revenues between 142 million to 152 million yuan, representing a year-on-year increase of 23.48% to 32.17% and a quarter-on-quarter increase of 31.48% to 40.74% [2]. - The anticipated net profit for Q2 is projected to be between 11.41 million to 16.41 million yuan, a substantial recovery from the previous year's loss [2]. - The company is focusing on the development of its main business and is expected to continue this growth trend into 2024 [2][3]. Financial Performance Summary - For 2024, the company forecasts a revenue of 250 million to 260 million yuan for the first half, marking a year-on-year growth of 19.28% to 24.05% [7]. - The net profit for the first half of 2024 is expected to be between 20 million to 25 million yuan, a significant turnaround from a loss of 15.76 million yuan in the same period last year [7]. - The company's MicroTEC technology is positioned to benefit from the rising demand for high-speed optical modules driven by AI computing needs, with production capabilities already established [3][8]. Financial Data and Projections - The company’s revenue is projected to recover from 399.59 million yuan in 2023 to 507.88 million yuan in 2024, with a growth rate of 27.10% [9]. - The net profit is expected to turn positive in 2024, reaching 62.54 million yuan, compared to a loss of 12.78 million yuan in 2023 [9]. - The company’s earnings per share (EPS) is projected to improve from -0.14 yuan in 2023 to 0.71 yuan in 2024 [9][20].