LUXSHARE-ICT(SZ:002475) CMS·2025-11-03 05:31Investment Rating - Strongly recommended (maintained) with a target price of 90.0 CNY and a current stock price of 63.0 CNY [1] Core Insights - The company reported a revenue of 220.9 billion CNY for the first three quarters of 2025, a year-on-year increase of 24.69%, and a net profit attributable to shareholders of 11.52 billion CNY, up 26.92% year-on-year [1][20] - The company expects a full-year net profit range of 16.52-17.19 billion CNY, corresponding to a growth range of 23.59%-28.59% [1] - The third quarter saw a significant acceleration in revenue and profit growth, driven by strong performance in the Apple business and the integration of acquired assets [1][20] Summary by Sections Financial Performance - For Q3 2025, the company achieved a revenue of 96.4 billion CNY, with a year-on-year increase of 31.03% and a quarter-on-quarter increase of 53.57% [1] - The gross profit margin for Q3 was 12.84%, reflecting improvements in business structure and profitability [1][20] - The company’s net profit margin increased to 5.63%, up 0.18 percentage points year-on-year [21] Business Segments - The company is focusing on three main business segments: consumer electronics, automotive, and data centers, with a strategy of "internal growth and external expansion" [7][9] - The automotive segment is expanding its market share in smart and electric vehicle components, with multiple new projects entering mass production [9][15] - The data center segment is experiencing explosive growth in demand for AI computing power, with significant progress in product development and customer acquisition [8][17] Strategic Outlook - The company is optimistic about the growth potential in AI-related hardware and plans to increase investments in emerging fields such as AI edge computing, data centers, and smart vehicles [1][8] - The integration of acquired companies, Leoni and Wenti, is progressing better than expected, enhancing operational efficiency and market competitiveness [15][31] - The company aims to leverage its vertical integration capabilities and global production layout to meet the increasing demand for high-precision components in the consumer electronics and automotive sectors [7][11] Future Projections - Revenue projections for 2025-2027 are set at 341.4 billion CNY, 440.0 billion CNY, and 560.9 billion CNY, respectively, with net profits expected to reach 17.0 billion CNY, 21.7 billion CNY, and 27.7 billion CNY [5] - The company anticipates that the AI computing segment will have the highest growth elasticity among its business units in the coming years [27]