SICC CO.(SH:688234) Minsheng Securities·2024-10-30 14:02Investment Rating - The report maintains a "Recommended" rating for the company [2][4]. Core Views - The company achieved record high revenue of 1.281 billion yuan in the first three quarters of 2024, representing a year-on-year increase of 55.34%, and turned a profit with a net profit of 143 million yuan [2]. - The company has successfully ramped up production of 8-inch substrates, with its Shanghai Lingang factory reaching an annual production capacity of 300,000 conductive substrates [2]. - The company has established strong partnerships with leading international clients, including Infineon, Bosch, and ON Semiconductor, enhancing its market position in the silicon carbide (SiC) substrate sector [2]. - The company is optimistic about the long-term growth of the SiC technology market and plans to continue expanding its production capacity [2]. Financial Summary - For 2023, the company is projected to generate total revenue of 1.251 billion yuan, with a growth rate of 199.9% [3][5]. - The net profit attributable to shareholders is expected to be -46 million yuan in 2023, with a significant turnaround to 186 million yuan in 2024, reflecting a growth rate of 507.6% [3][5]. - The company's earnings per share (EPS) is forecasted to improve from -0.11 yuan in 2023 to 0.43 yuan in 2024 [3][5]. - The price-to-earnings (PE) ratio is projected to be 135 for 2024, decreasing to 50 by 2026 [3][5].