ASR(688220) 长江证券·2024-09-09 04:03Investment Rating - The investment rating for the company is "Buy" and it is maintained [7]. Core Views - The company reported a revenue of 1.655 billion yuan for the first half of 2024, representing a year-on-year increase of 56.62%. The net profit attributable to the parent company was a loss of 265 million yuan, which is a reduction in loss by 71 million yuan compared to the previous year [5][6]. - The demand for IoT and smartphones is recovering, which is accelerating the company's efforts to return to profitability. The second quarter of 2024 saw a revenue of 825 million yuan, up 27.21% year-on-year, with a net profit loss of 143 million yuan, also showing a reduction in loss [5][6]. - The company has made significant breakthroughs in both the IoT and smartphone sectors, launching its first 5G RedCap chip and a smartphone chip, ASR8601, which has received positive feedback from customers [6][7]. Summary by Sections Financial Performance - In 2024H, the company achieved a revenue of 1.655 billion yuan, with a year-on-year growth of 56.62%. The net profit attributable to the parent company was a loss of 265 million yuan, a reduction in loss by 71 million yuan year-on-year. The second quarter of 2024 saw a revenue of 825 million yuan, with a net profit loss of 143 million yuan [5][6]. - The gross margin for Q2 2024 reached 24.75%, an increase of 0.08 percentage points year-on-year, while the net margin was -16.90%, an improvement of 4.73 percentage points year-on-year [5]. Product Development - The company has launched its first 5G RedCap chip and has completed certification testing with China Mobile, with plans for mass production in the second half of 2024. Additionally, the ASR8601 smartphone chip has been introduced to the Latin American market, receiving positive customer feedback [6][7]. - The sales volume of the cellular baseband main chip increased by over 80% year-on-year, while non-cellular IoT chip sales grew by over 70% [6]. Market Outlook - The company is expected to achieve revenues of 3.457 billion yuan, 4.410 billion yuan, and 6.015 billion yuan for 2024, 2025, and 2026 respectively, with corresponding price-to-sales ratios of 4X, 3X, and 2X [7]. - The company is also expanding its presence in the automotive and non-cellular IoT sectors, with significant growth in product shipments and collaborations with major appliance manufacturers [6].