TFME(SZ:002156) Dongguan Securities·2025-10-28 13:24Investment Rating - The report maintains a "Buy" rating for the company, indicating an expectation that the stock will outperform the market index by more than 15% in the next six months [1][8]. Core Insights - The company, Tongfu Microelectronics (002156.SZ), reported a revenue of 20.116 billion yuan for the first three quarters of 2025, representing a year-on-year growth of 17.77%. The net profit attributable to shareholders reached 860 million yuan, up 55.74% year-on-year [2][6]. - In Q3 2025, the company achieved a revenue of 7.078 billion yuan, a 17.94% increase year-on-year, and a net profit of 448 million yuan, which is a remarkable 95.08% increase year-on-year [6]. - The company's gross margin and net margin for the first three quarters of 2025 were 15.26% and 4.94%, respectively, both showing improvements compared to the same period last year [6]. - The company is a core packaging and testing supplier for AMD, benefiting from the growth in advanced packaging driven by AI applications. It provides comprehensive services across various sectors, including AI, high-performance computing, and 5G [6][8]. Financial Performance - The company has shown significant improvement in profitability, with Q3 2025 gross margin at 16.18%, up 1.54 percentage points year-on-year, and net margin at 7.19%, up 2.86 percentage points year-on-year [6]. - The report forecasts earnings per share of 0.80 yuan and 0.97 yuan for 2025 and 2026, respectively, with corresponding price-to-earnings ratios of 55 times and 45 times [8][10]. Capacity Expansion - The company is actively expanding its production capacity with multiple facilities in Jiangsu, Anhui, and Fujian, and has acquired stakes in AMD's facilities in Suzhou and Penang [6][8]. - The strategic acquisition of a 26% stake in Jinglong Technology is expected to enhance investment returns and provide stable financial benefits [8].