Investment Rating - The report initiates coverage with a "Buy" investment rating for the company [9] Core Insights - The company achieved a revenue of 726 million yuan in the first three quarters of 2024, representing a year-on-year increase of 95.51%, with a net profit of 60 million yuan, up 4.98% year-on-year. The third quarter alone saw a revenue of 288 million yuan, marking a 137.70% increase year-on-year [3][4] - The growth in revenue is primarily driven by the expansion of data centers and computing networks, which has accelerated the development of the optical communication industry. The company has also benefited from the revenue of newly acquired subsidiaries [3] - The optical connector business has become a significant growth driver for the company's performance, with a diverse range of products suitable for various applications. The company’s subsidiary, Fokexima, is a high-tech enterprise that has pioneered the research and production of MT/MPO connectors in China [5][6] Revenue and Profit Forecast - The company is projected to generate revenues of 717 million yuan, 969 million yuan, and 1.34 billion yuan for the years 2024, 2025, and 2026, respectively, with corresponding EPS of 0.67 yuan, 0.84 yuan, and 1.20 yuan. The current stock price corresponds to PE ratios of 113, 91, and 64 times for the respective years [6][11] - The revenue growth rates are forecasted at 42.8% for 2024, 35.2% for 2025, and 38.3% for 2026, while the net profit growth rates are expected to be 18.6%, 24.9%, and 42.4% for the same years [14] Market Position and Competitive Advantage - The company has established a strong foothold in the gaming console components market, benefiting from the booming gaming industry and the maturation of VR/AR technologies. It has developed several precision component products and has secured stable partnerships with major clients such as Sony and a well-known Japanese company [4][5] - The optical connector business is expected to continue its rapid growth, with the company’s Vietnamese subsidiary, WESUM, starting operations in the second half of 2023 and planning to expand production in 2025 [5]
致尚科技：公司动态研究报告：前三季度营收同比高增，光纤连接器业务快速增长-20250224