CRM(SH:688396) Huaxin Securities·2024-09-13 07:00Investment Rating - The report maintains an "Accumulate" investment rating for the company [2][3] Core Views - The company reported a revenue of 4.76 billion yuan for the first half of 2024, a year-on-year decrease of 5.36%, and a net profit attributable to shareholders of 280 million yuan, down 63.96% year-on-year [2] - The semiconductor market in China is recovering, with industry inventory levels returning to reasonable levels, and downstream demand improving, leading to a full recovery of production capacity utilization [2] - The company is optimizing its product structure, with significant growth in the automotive electronics market, which now accounts for 22% of revenue [2] - The company is expanding its 12-inch wafer production capacity and packaging capabilities, with advanced packaging revenue growing by 136% year-on-year [2] Summary by Sections Financial Performance - In Q2 2024, the company achieved a revenue of 2.644 billion yuan, a quarter-on-quarter increase of 25%, and a net profit of 247 million yuan, a quarter-on-quarter increase of 644% [2] - The company forecasts revenues of 10.93 billion yuan, 12.17 billion yuan, and 13.67 billion yuan for 2024, 2025, and 2026 respectively, with EPS of 0.64 yuan, 1.14 yuan, and 1.36 yuan [3] Market Position - The company has made significant inroads into the automotive electronics sector, with partnerships with major automotive manufacturers such as BYD and Geely [2] - The product mix includes new energy vehicles, consumer electronics, industrial equipment, and communication devices, with the new energy sector accounting for 39% of revenue [2] Capacity Expansion - The company is actively increasing its production capacity, with a new 12-inch wafer production line under construction, expected to produce approximately 40,000 wafers per month [2] - The company has achieved a high yield rate of over 98% for its advanced mask products, with the first set of 90nm high-end mask products produced and delivered [2]