KFMI(SZ:300666) Dongxing Securities·2026-02-13 01:11Investment Rating - The report maintains a "Recommended" rating for Jiangfeng Electronics [4][9]. Core Insights - Jiangfeng Electronics plans to acquire control of Kaide Quartz to enhance its core competitiveness in the semiconductor component business. The acquisition involves a cash payment of approximately RMB 590.7 million for a 20.64% stake in Kaide Quartz, which will become a subsidiary post-transaction [2][9]. - The company forecasts a revenue of approximately RMB 4.6 billion for 2025, representing a year-on-year growth of about 28%. The net profit attributable to shareholders is expected to be between RMB 431 million and RMB 511 million, reflecting a growth of 7.5% to 27.5% [1][2]. Financial Performance Summary - Jiangfeng Electronics anticipates continued growth in revenue and profit for 2025, driven by an increase in market share for advanced process products and a rise in revenue from ultra-pure metal sputtering targets and semiconductor precision components. The company expects Q4 2025 revenue to reach approximately RMB 1.309 billion, a year-on-year increase of about 33.57% [2][11]. - The projected earnings per share (EPS) for 2025 is expected to be RMB 1.92, with forecasts of RMB 2.75 and RMB 3.55 for 2026 and 2027, respectively [9][11]. Business Development - Jiangfeng Electronics is actively advancing its ultra-pure metal sputtering target projects, with the Huanghu target material factory construction progressing smoothly [3][9]. - The company is enhancing its strategic layout in the semiconductor precision component sector to meet customer demands and expand its product line, focusing on high-value-added products [9]. Market Position - Jiangfeng Electronics is recognized as a leading domestic player in the semiconductor target material sector, with the acquisition of Kaide Quartz expected to strengthen its position in the quartz component market [2][9].