Tianshui Huatian Technology (SZ:002185) Great Wall Securities·2024-09-04 09:08Investment Rating - The report maintains a rating of "Accumulate" for the company [1]. Core Views - The company's revenue for H1 2024 reached 6.718 billion yuan, a year-on-year increase of 32.02%, while the net profit attributable to shareholders was 223 million yuan, up 254.23% year-on-year [1][2]. - The integrated circuit market is gradually recovering, leading to significant improvements in the company's profitability, with a gross margin of 10.91% and a net margin of 3.45% in H1 2024 [2][5]. - The company is expanding its advanced packaging scale and expects to capture more orders as production ramps up [2][5]. Financial Performance Summary - Revenue (million yuan): - 2022A: 11,906 - 2023A: 11,298 - 2024E: 13,300 - 2025E: 15,825 - 2026E: 18,217 - Year-on-year growth rates: -1.6% (2022A), -5.1% (2023A), 17.7% (2024E), 19.0% (2025E), 15.1% (2026E) [1][6]. - Net profit attributable to shareholders (million yuan): - 2022A: 754 - 2023A: 226 - 2024E: 684 - 2025E: 1,088 - 2026E: 1,549 - Year-on-year growth rates: -46.7% (2022A), -70.0% (2023A), 202.3% (2024E), 59.1% (2025E), 42.3% (2026E) [1][6]. - ROE (%): - 2022A: 5.3 - 2023A: 1.5 - 2024E: 4.3 - 2025E: 6.5 - 2026E: 8.5 [1][6]. Industry Outlook - The semiconductor market is experiencing a recovery, with global and Chinese semiconductor sales maintaining double-digit growth since 2024 [5]. - The company is focusing on advanced packaging technology and product innovation, with R&D expenditures constituting over 5% of revenue [5][6]. - The automotive electronics packaging product scale is expanding, with several projects progressing towards mass production [2][5].