USISH(SH:601231) Huaan Securities·2025-03-31 11:21Investment Rating - The investment rating for the company is "Buy" [1] Core Viewpoints - The company is a global leader in electronic design and manufacturing, particularly in the SiP module sector, with a strong global presence and diversified product offerings across various electronic categories [4][15] - The company has experienced a slowdown in revenue growth due to declining market conditions in communication and consumer electronics, but cloud and automotive electronics are expected to contribute to new growth momentum [4][32] - The SiP technology offers high extensibility, with continuous downstream application expansion providing significant growth opportunities [5][58] Summary by Relevant Sections Company Overview - The company, founded in 1976, has established itself as a leader in the electronic design and manufacturing industry, with a global footprint across Asia, Europe, America, and Africa [4][15] - The company reported revenues of 608 billion yuan and 607 billion yuan for 2023 and 2024, respectively, with a year-over-year decline of 11.3% and 0.2% [4][32] SiP Technology and Market Position - The company is recognized as the global leader in SiP module shipments, with a focus on miniaturization and integration of electronic systems [5][58] - The SiP market is primarily driven by the consumer electronics sector, which accounted for 190 billion USD in 2022, with a projected CAGR of 7% from 2022 to 2028 [5][50] Growth Opportunities - The company is well-positioned to benefit from the growth in wireless communication, consumer electronics, cloud and storage, and automotive electronics, with significant market expansions expected in these areas [6][8][9] - The automotive electronics segment is projected to grow significantly, supported by trends in electrification, intelligence, and connectivity [8][9] Financial Projections - The company is expected to achieve revenues of 606.9 billion yuan, 651.8 billion yuan, and 709.8 billion yuan for 2024, 2025, and 2026, respectively, with corresponding net profits of 16.5 billion yuan, 20.9 billion yuan, and 26.4 billion yuan [9][10]