FMSH(SH:688385) Orient Securities·2025-02-02 12:23Investment Rating - The investment rating for the company is "Buy" (maintained) with a target price of 47.32 CNY [1][6]. Core Views - The report highlights the company's comprehensive FPGA business layout and the construction of a diversified product matrix, indicating strong growth potential in the FPGA sector and other product lines [10][11]. Financial Performance Summary - The company's projected net profit attributable to shareholders for 2024-2026 is 531 million, 747 million, and 946 million CNY respectively, with a downward adjustment from previous forecasts due to lower revenue and gross margin expectations [6][11]. - Revenue for 2022 was 3,539 million CNY, with a slight decline to 3,536 million CNY in 2023, followed by expected growth to 3,717 million CNY in 2024 and 4,386 million CNY in 2025 [8][14]. - The gross margin is projected to decrease from 64.7% in 2022 to 54.2% in 2024, before recovering to 60.8% by 2026 [8][14]. - The net profit margin is expected to decline from 30.4% in 2022 to 14.3% in 2024, then recover to 19.0% by 2026 [8][14]. Product and Market Development - The company is expanding its product offerings in various sectors, including smart card chips, NFC chips, and RFID solutions, with significant market share in non-contact logic encryption chips exceeding 60% and around 20% in financial IC card chips [10][11]. - The company is actively pursuing advancements in its MCU products, achieving leading market share in domestic smart single-phase meter markets and progressing in automotive-grade products [10][11].