KFMI(SZ:300666) Dongxing Securities·2025-05-07 00:23Investment Rating - The report maintains a "Recommended" rating for Jiangfeng Electronics [2][11]. Core Viewpoints - Jiangfeng Electronics achieved significant growth in 2024, with revenue reaching 3.605 billion yuan, a year-on-year increase of 38.57%, and a net profit of 401 million yuan, up 56.79% [3][4]. - The company's core business of ultra-pure metal sputtering targets saw sales revenue of 2.333 billion yuan, growing by 39.51%, while the semiconductor precision components segment also performed well, generating 887 million yuan in sales, a 55.53% increase [4][5]. - The company is expanding its market share in the global wafer manufacturing sputtering target sector and is positioned as a leader in technology and market share [4][5]. - Continuous investment in R&D, with expenses reaching 217 million yuan, up 26.50%, has led to significant advancements in product offerings and technology [5][6]. - The semiconductor precision components business is expected to accelerate growth, driven by domestic chip manufacturing and the trend towards supply chain localization [6][11]. Financial Performance Summary - In 2024, Jiangfeng Electronics reported a gross margin of 28.17%, a slight decrease of 1.03 percentage points year-on-year [4]. - The company forecasts earnings per share (EPS) of 1.98 yuan, 2.42 yuan, and 2.99 yuan for 2025, 2026, and 2027, respectively [11][13]. - Revenue is projected to grow from 3.605 billion yuan in 2024 to 7.208 billion yuan by 2027, reflecting a compound annual growth rate (CAGR) of approximately 23.69% [13][14].