Chipown(688508) 华创证券·2024-08-18 16:37Investment Rating - Strong Buy (Maintained) [1] Core Views - The company achieved steady growth in Q2 2024, with revenue reaching 2.50 billion yuan, up 26.75% YoY and 22.91% QoQ [1] - Gross margin stabilized at 36.27% in Q2 2024, showing a slight decline of 2.52pct YoY and 0.47pct QoQ [1] - The company is benefiting from the recovery in downstream demand and the expansion of new businesses, particularly in the home appliance and consumer electronics sectors [1] - The domestic PMIC (Power Management IC) industry is expected to grow further due to industry cycle recovery and accelerated domestic substitution [1] - The company is actively expanding into industrial and automotive sectors, with new product launches in server, energy storage, and automotive applications [1] Financial Performance - 2024H1 revenue: 4.53 billion yuan, up 17.96% YoY [1] - 2024H1 gross margin: 36.48%, down 2.46pct YoY [1] - 2024H1 net profit attributable to shareholders: 0.44 billion yuan, down 8.64% YoY [1] - 2024H1 non-GAAP net profit: 0.45 billion yuan, up 36.97% YoY [1] - 2024Q2 net profit attributable to shareholders: 0.20 billion yuan, down 27.10% YoY and 15.48% QoQ [1] - 2024Q2 non-GAAP net profit: 0.29 billion yuan, up 34.39% YoY and 83.76% QoQ [1] Business Segments - Home appliance business revenue grew over 20% YoY in 2024H1, driven by increased market share in white and black goods [1] - Standard power supply business revenue grew nearly 20% YoY, supported by the recovery in consumer electronics and the mass production of Inbox Charger for mobile phones [1] - Industrial control business saw slight revenue growth, with new product launches in "light storage, charging, computing, and automotive" sectors [1] Future Outlook - The company is expected to benefit from the continued recovery in downstream demand and the acceleration of domestic substitution [1] - Revenue and profitability are projected to grow rapidly, with 2024-2026 net profit forecasts revised upward to 0.88/1.15/1.41 billion yuan [1] - The target price is set at 40.2 yuan per share, based on a 60x PE ratio for 2024 [1] Industry Trends - The semiconductor industry is gradually recovering, with inventory reduction nearing its end [1] - Domestic PMIC manufacturers are expected to grow further, driven by the "replacement of old appliances" policy and new product launches in the consumer electronics sector [1] - Domestic companies like the report company are breaking foreign monopolies in certain niche markets, benefiting from the dual drivers of demand recovery and domestic substitution [1]