Giantec Semiconductor(SH:688123) Huaxin Securities·2024-09-04 08:30Investment Rating - The report maintains a "Buy" investment rating for the company [3][6]. Core Insights - The company's revenue has steadily increased, with a significant growth in net profit. For the first half of 2024, the company achieved a revenue of 515 million yuan, representing a year-on-year growth of 62.37%. The net profit attributable to shareholders was 143 million yuan, up 124.93% year-on-year [4][6]. - The penetration rate of DDR5 continues to rise, leading to a substantial increase in SPD product sales. The company has successfully developed new DDR5 memory module SPD products in collaboration with partners, which have seen large-scale applications in the industry [4][6]. - The sales proportion of high-value-added segments has increased, with multiple products experiencing rapid growth in shipments [4][5]. Summary by Sections Financial Performance - In the first half of 2024, the company reported a revenue of 515 million yuan, a 62.37% increase year-on-year. The net profit attributable to shareholders was 143 million yuan, reflecting a 124.93% increase. The net profit excluding non-recurring items was 145 million yuan, up 222.60% year-on-year [4][6]. - The company forecasts revenues of 1.088 billion yuan, 1.416 billion yuan, and 1.763 billion yuan for 2024, 2025, and 2026, respectively, with corresponding EPS of 2.18 yuan, 3.18 yuan, and 4.24 yuan [6][10]. Market Trends - The demand in downstream application markets is gradually recovering, contributing to the rapid growth of the company's industrial-grade EEPROM products. The automotive-grade EEPROM products have also seen significant growth, successfully penetrating key overseas markets [4][5]. - The company has established a mature automotive-grade EEPROM product line and is actively expanding into Europe, South Korea, and Japan, achieving high growth in sales and revenue [5]. Product Development - The company has successfully iterated its product lines, leading to rapid growth in shipments of industrial-grade EEPROM products and audio coil motor driver chips. The sales of SPD products, NOR Flash products, and automotive-grade EEPROM products have also seen significant year-on-year growth [4][6].