Bayi Space(688181) INDUSTRIAL SECURITIES·2025-01-10 01:54Investment Rating - The report assigns an "Accumulate" rating for the company for the first time [1]. Core Insights - The company has a strong foundation in liquid crystal materials and is expanding into semiconductor materials, particularly focusing on KrF photoresist resin [2][6]. - The company has successfully broken the overseas monopoly and achieved mass production of KrF photoresist resin, with a significant market opportunity projected for the future [3][45]. - The liquid crystal segment remains a stable revenue source, while the semiconductor materials segment is expected to drive future growth [4][19]. Summary by Sections Company Overview - Established in 2004, the company has developed a comprehensive production capability for liquid crystal materials and is now venturing into semiconductor materials [6][19]. - The company has formed strategic partnerships with major clients, including BOE Technology Group, enhancing its market position [19][31]. Financial Performance - Projected total revenue for 2023 is 799 million yuan, with a decline of 14.4% year-on-year, followed by a recovery in 2024 with an estimated revenue of 719 million yuan [3]. - The net profit attributable to shareholders is expected to decrease to 107 million yuan in 2023, with a significant recovery anticipated in 2024 [3]. Liquid Crystal Materials - The liquid crystal materials market is expected to maintain stability, with the company being one of the three domestic manufacturers benefiting from the increasing localization rate [20][25]. - The company has a long-standing relationship with BOE, which has been a significant contributor to its revenue, accounting for over 90% of total sales [19][31]. Semiconductor Materials - The company is a pioneer in the domestic mass production of KrF photoresist resin, which is crucial for semiconductor manufacturing [3][35]. - The global market for KrF photoresist is projected to grow from 767 million USD in 2023 to 1.288 billion USD by 2030, indicating a robust growth opportunity for the company [3][45]. Production Capacity and Projects - The company is actively expanding its production capacity, with significant investments in new projects aimed at enhancing its output of both liquid crystal and semiconductor materials [10][9]. - The Zhejiang production base is expected to achieve large-scale production of photoresist resin by 2025, contributing to the company's growth trajectory [3][10].