Minsheng Securities·2025-08-29 05:31Investment Rating - The report maintains a "Recommended" rating for the company, indicating a potential upside of over 15% relative to the benchmark index [6][12]. Core Insights - The company reported a revenue of 1.839 billion yuan for the first half of 2025, a year-on-year increase of 2.49%, but the net profit attributable to shareholders decreased by 44.38% to 194 million yuan [1][2]. - The decline in net profit is attributed to reduced government subsidies and increased inventory impairment losses, totaling approximately 172 million yuan, with 143 million yuan specifically for inventory [2][3]. - The FPGA product line showed significant growth, with a year-on-year increase of 23.15%, contributing positively to the company's operations [2][3]. - The company is a leading domestic FPGA supplier and is actively developing new products, including FPAI chips, which integrate CPU, FPGA, and NPU technologies [3]. Financial Performance Summary - For the first half of 2025, the company achieved a gross margin of 56.80%, an increase of 0.31 percentage points year-on-year [2]. - The revenue breakdown for various product lines includes approximately 393 million yuan from security and identification chips, 440 million yuan from non-volatile memory, 248 million yuan from smart meter chips, and 681 million yuan from FPGA and other products [2]. - The company expects net profits for 2025, 2026, and 2027 to reach 641 million yuan, 1.077 billion yuan, and 1.505 billion yuan, respectively, with corresponding price-to-earnings ratios of 83, 50, and 36 [3][5].