SICC CO.(688234) 上海证券·2024-11-05 07:11Investment Rating - The investment rating for the company is "Buy" (maintained) [3][11] Core Views - The company reported a revenue of 1.281 billion yuan for the first three quarters of 2024, representing a year-over-year increase of 55.34%. The net profit attributable to shareholders for the same period was 143 million yuan, with a significant increase of 982.08% in Q3 alone [3] - The company is positioned in the third-generation semiconductor industry, which is gaining international attention due to trends in energy electrification and low-carbon development. The demand for high-quality conductive silicon carbide substrates is increasing, with over 50% of the top ten global power semiconductor companies becoming clients [3] - The company has established a leading position in the 8-inch silicon carbide substrate market, with a production capacity of 300,000 pieces per year at its Shanghai factory as of H1 2024. The company is also expanding its production capabilities to meet growing international demand [3] Summary by Sections Financial Performance - For Q1-Q3 2024, the company achieved a revenue of 1.281 billion yuan, with a year-over-year growth of 55.34%. The net profit attributable to shareholders was 143 million yuan, with Q3 showing a remarkable year-over-year increase of 982.08% [3] - The company has adjusted its net profit forecasts for 2024-2026 to 196 million, 393 million, and 512 million yuan, respectively, with corresponding EPS of 0.46, 0.92, and 1.19 yuan [3][4] Market Position and Strategy - The company is leveraging its core competencies in technology, production capacity, and customer relationships to enhance its competitive edge in the silicon carbide substrate market. It has formed partnerships with leading firms like Infineon and Bosch to support their transition to 8-inch products [3] - The global market for silicon carbide devices is projected to reach 8.906 billion USD by 2028, indicating a strong growth trajectory for the industry [3] Future Outlook - The company is expected to benefit from the increasing demand for 8-inch silicon carbide substrates, with a focus on cost reduction and production efficiency. The ongoing expansion of its production facilities is anticipated to further solidify its market position [3] - The company is also exploring new applications for silicon carbide materials, which could lead to additional growth opportunities in various sectors [3]