Huaqin Technology (SH:603296) ZHONGTAI SECURITIES·2025-10-28 05:35Investment Rating - The investment rating for the company is "Buy" (maintained) [2] Core Views - The company reported a significant increase in profitability in Q3 2025, with a year-on-year revenue growth of 22.8% and a net profit increase of 59.5% [4] - The data center business is expected to continue its growth trajectory, supported by structural optimization that enhances profitability [4] - The company is positioned as a leading supplier for domestic CSPs, with expectations of over 30% revenue growth in the data center segment by 2026 [5] Financial Performance Summary - For the first three quarters of 2025, the company achieved a revenue of 128.88 billion yuan, representing a year-on-year increase of 69.6%, and a net profit of 3.1 billion yuan, up 51.2% year-on-year [4] - In Q3 2025, the company recorded a revenue of 44.94 billion yuan, with a year-on-year growth of 22.8% and a quarter-on-quarter decline of 8.2% [4] - The gross margin for Q3 2025 was 8.2%, showing a year-on-year increase of 0.5 percentage points [4] Business Segment Insights - The high-performance computing business generated revenue of 74.1 billion yuan in the first three quarters of 2025, marking a year-on-year growth of 70% [4] - The PC segment saw a year-on-year increase in shipments of 19%, with a global market share of 9.7% [5] - The smart terminal and AIoT businesses reported revenues of 45 billion yuan and 5.5 billion yuan respectively, with year-on-year growth rates of 84% and 73% [5] Future Projections - The company forecasts revenues of 161.18 billion yuan for 2025, with a year-on-year growth rate of 47% [2] - The projected net profit for 2025 is 4.03 billion yuan, reflecting a year-on-year increase of 38% [2] - The expected earnings per share (EPS) for 2025 is 3.96 yuan, with a projected price-to-earnings (P/E) ratio of 24.7 [2]