JCET(SH:600584) Changjiang Securities·2025-09-14 14:42Investment Rating - The investment rating for the company is "Buy" and is maintained [7] Core Views - The company reported a revenue of 18.605 billion yuan for H1 2025, representing a year-on-year increase of 20.14%, while the net profit attributable to shareholders was 471 million yuan, a decrease of 23.98% year-on-year. In Q2 2025, the revenue was 9.270 billion yuan, up 7.24% year-on-year, with a net profit of 267 million yuan, down 44.75% year-on-year but up 31.50% quarter-on-quarter [2][4][10] - The decline in net profit is attributed to the product introduction phase of the Jiangyin Changdian Micro and Changdian Automotive Electronics factories, increased financial and R&D expenses, international policy uncertainties, and rising material prices. Future improvements in profitability are expected as downstream demand increases and overall capacity utilization improves [10] Summary by Sections Financial Performance - For H1 2025, the company achieved a revenue of 186.05 billion yuan, with a net profit of 4.71 billion yuan. The Q2 2025 figures were 92.70 billion yuan in revenue and 2.67 billion yuan in net profit [2][4] - The revenue breakdown by market application for H1 2025 shows: Communication Electronics (38.1%), Computing Electronics (22.4%), Consumer Electronics (21.6%), Automotive Electronics (9.3%), and Industrial & Medical Electronics (8.6%). The share of computing electronics increased by 6.7 percentage points year-on-year [10] Growth Drivers - The company is focusing on high-performance packaging technology and high-value applications, accelerating its strategic layout in automotive electronics and high-performance computing markets. The revenue from computing electronics grew over 70% year-on-year, while automotive electronics grew by 34.2% [10] - The core subsidiary, Changdian Advanced, reported a revenue of 1.014 billion yuan for H1 2025, up 37.96% year-on-year, with a net profit of 279 million yuan, a significant increase of 136.19% year-on-year [10] Future Outlook - The company is expected to achieve net profits of 1.623 billion yuan, 1.959 billion yuan, and 2.461 billion yuan for 2025, 2026, and 2027 respectively, with corresponding price-to-earnings ratios of 42X, 35X, and 28X [10]