AFR(SZ:300620) Haitong Securities International·2025-12-02 08:41Investment Rating - The report maintains an "Outperform" rating for the company, with a target price of 177 RMB, representing a potential upside of 146% [5][12]. Core Insights - The company has significantly increased its revenue, driven by data communication, with a reported revenue of 0.10 billion RMB for the first three quarters of 2025, up 35.11% year-on-year. The net profit attributable to shareholders for the same period was 0.12 billion RMB, up 106.61% year-on-year [5][13]. - The trend towards Optical Communication Systems (OCS) is clear, with projections indicating that the global OCS market could reach 2 billion USD by 2030. The company's acquisition of Wuhan Jiepu positions it well for future market opportunities [5][14]. Financial Summary - The company's total revenue is projected to grow from 710 million RMB in 2023 to 3,605 million RMB in 2027, reflecting a compound annual growth rate (CAGR) of approximately 45.5% from 2024 to 2025 [4]. - Net profit attributable to shareholders is expected to increase from 60 million RMB in 2023 to 598 million RMB in 2027, with a significant jump of 221.6% from 2025 to 2026 [4]. - Earnings per share (EPS) is forecasted to rise from 0.24 RMB in 2023 to 2.40 RMB in 2027, indicating strong growth potential [4][5].