JCET(SH:600584) GOLDEN SUN SECURITIES·2025-03-29 14:08Investment Rating - The report initiates coverage with a "Buy" rating for the company [3]. Core Views - The company is a leader in the packaging and testing industry, achieving a historical high in revenue and demonstrating significant profit elasticity [20]. - The company has a comprehensive layout in AI computing, storage, and automotive sectors, with stable mass production of its XDFOI technology [3][11]. - The advanced packaging market is expected to grow significantly, with the company positioned to benefit from this trend [2][38]. Summary by Sections 1. Company Overview - The company ranks among the top three globally in revenue within the packaging and testing industry, with a strong international presence [11]. - Established in 1972, the company has expanded its production and R&D capabilities across China, South Korea, and Singapore [12]. 2. Financial Performance - For the first three quarters of 2024, the company reported revenue of 24.98 billion yuan, a year-on-year increase of 22.3%, with a record single-quarter revenue of 9.49 billion yuan in Q3 2024 [20]. - The net profit attributable to shareholders for the same period was 1.08 billion yuan, reflecting a 10.5% year-on-year increase [20]. 3. Industry Trends - The global packaging and testing market is projected to grow from approximately 81.5 billion USD in 2022 to 96.1 billion USD by 2026, driven by advancements in automotive electronics, AI, and data centers [2][30]. - The advanced packaging segment is expected to exceed 50% of the market share by 2026, with significant growth in 2.5D and 3D packaging technologies [38]. 4. Future Outlook - The company plans to invest 8.5 billion yuan in capital expenditures by 2025 to enhance its advanced packaging capacity [3]. - Revenue projections for 2024, 2025, and 2026 are estimated at 34.2 billion yuan, 40.2 billion yuan, and 46.2 billion yuan, respectively, with corresponding net profits of 1.6 billion yuan, 2.2 billion yuan, and 3.1 billion yuan [3].