Guobo Electronics (SH:688375) GUOTAI HAITONG SECURITIES·2025-09-16 11:23Investment Rating - The investment rating for the company is "Accumulate" with a target price of 90.00 CNY, while the current price is 76.10 CNY [5]. Core Insights - The company experienced a decline in performance in the first half of 2025 due to delays in revenue recognition in traditional sectors, but achieved significant growth in Q2, with a notable increase in gross and net profit margins. The company has made substantial progress in the low Earth orbit satellite and commercial aerospace sectors, with multiple T/R component products beginning to be delivered to customers [2][11]. Financial Summary - Total revenue for 2023 is projected at 3.6 billion CNY, with a decrease to 2.6 billion CNY in 2024, followed by a recovery to 2.8 billion CNY in 2025, and further growth to 3.2 billion CNY in 2026 and 3.7 billion CNY in 2027. The net profit attributable to the parent company is expected to be 600 million CNY in 2025, increasing to 800 million CNY by 2027 [4][12]. - The gross profit margin for the first half of 2025 is reported at 39.11%, an increase of 3.97 percentage points year-on-year, while the net profit margin is at 18.81%, showing a slight increase of 0.04 percentage points year-on-year [11]. Segment Performance - In the first half of 2025, the T/R component segment saw a year-on-year decline of 19.27%, while the RF chip business revenue was 91 million CNY, reflecting a year-on-year increase of 3.72%. Other chip business revenue was 22 million CNY, down 18.42% year-on-year [11]. Market Position and Growth Drivers - The company is positioned as a leader in the active phased array T/R component sector, focusing on high-frequency and high-density applications. It has successfully expanded its market presence in low Earth orbit satellites and commercial aerospace, with several products already delivered to customers, marking a new growth point for the company [11]. - The company has also made significant advancements in RF integrated circuits, achieving large-scale supply in the domestic 4G and 5G mobile communication sectors, and is beginning to establish a comprehensive product line for satellite communication and sensing systems [11]. Valuation and Comparables - The report suggests a valuation based on a 90 times price-to-earnings ratio for 2025, aligning with the average valuation of comparable companies in the industry [11][13].