Shanghai Aijian Securities·2026-01-19 10:02Investment Rating - The electronic industry is rated as "Outperform" compared to the market [1] Core Insights - The SW electronic industry index increased by 3.77%, ranking 2nd out of 31 sectors, while the CSI 300 index decreased by 0.57% [2][5] - TSMC reported a record high quarterly revenue of $33.73 billion for Q4 2025, benefiting from strong demand for AI chips, with a year-on-year growth of 25.5% [22][29] - The approval of NVIDIA's H200 chip export to China is expected to alleviate the high-end computing power supply gap in key sectors such as research and medical imaging [31][33] Summary by Sections Market Performance - The SW electronic industry index rose by 3.77%, with the top five sectors being computer (+3.82%), electronic (+3.77%), non-ferrous metals (+3.03%), media (+2.04%), and machinery (+1.91%) [2][5] - The top three sub-sectors in the electronic industry were integrated circuit packaging and testing (+14.47%), semiconductor equipment (+9.31%), and integrated circuit manufacturing (+8.68%) [9] Company Performance - TSMC's Q4 2025 financial results showed a net profit of approximately NT$505.74 billion, with a gross margin of 62.3% and a net profit margin of 48.3% [22][23] - The revenue structure indicates that high-performance computing (HPC) and smartphones are the main revenue contributors, accounting for 55% and 32% of total revenue, respectively [27] Industry Developments - The U.S. government approved NVIDIA's export of the H200 chip to China, which is expected to enhance AI model training capabilities in various sectors [31][33] - MediaTek launched the Dimensity 9500s and 8500 mobile chips, enhancing performance and efficiency in the flagship market segment [36][37]