Sino Wealth(SZ:300327)2024-08-28 09:00Investment Rating - The report maintains an "Accumulate" rating for the company [1][2]. Core Views - The company is experiencing a recovery in revenue and gross margin in Q2 2024, with expectations of easing price competition in the MCU industry. The focus is on expanding into BMS and AMOLED chip markets [2]. - In H1 2024, the company reported revenue of approximately RMB 653 million, a year-on-year increase of 4%, with a gross margin of 34.4% [2]. - The company’s MCU products are continuously iterating, with new products aimed at various markets, including home appliances and automotive applications [2]. Financial Summary - For 2024, the company is projected to have an EPS of RMB 0.62, with corresponding PE ratios of 27.7, 22.3, and 21.2 for 2024, 2025, and 2026 respectively [2][3]. - The main revenue figures are as follows: - 2022: RMB 1,602 million - 2023: RMB 1,300 million - 2024E: RMB 1,524 million - 2025E: RMB 1,683 million - 2026E: RMB 1,848 million [3][4]. - The company’s net profit for 2024 is estimated at RMB 212 million, with a growth rate of 13.7% [3][4]. Market Position - The company has seen an increase in market share for its smart home appliance MCUs, contributing to revenue growth despite overall market challenges [2]. - The global integrated circuit market is entering a recovery phase, with improved supply-demand dynamics expected to alleviate pricing pressures [2]. Product Development - The company is launching new MCU products with competitive cost advantages and is in the process of validating several new products for mass production in H2 2024 and beyond [2]. - Upcoming products include automotive-grade touch MCUs and fast-charging protocol chips, with additional developments in battery management and AMOLED display drivers [2].