Amlogic(SH:688099) Soochow Securities·2026-02-13 06:24Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for future performance [3]. Core Insights - The company is positioned as a key player in the AIoT sector, benefiting from a robust product lineup and strong R&D capabilities, particularly as a core supplier for Google AIoT [3]. - Revenue forecasts for 2025-2027 have been adjusted to 67.93 billion, 91.77 billion, and 118.76 billion RMB respectively, with net profit estimates revised to 8.71 billion, 15.44 billion, and 23.24 billion RMB [3]. - The company is expected to experience significant growth in 2026, with revenue growth projected between 25% and 45% [8]. Financial Projections - Total revenue for 2025 is projected at 67.93 billion RMB, reflecting a year-over-year increase of 14.63% [8]. - The net profit for 2025 is expected to be 8.71 billion RMB, a 6% increase year-over-year [8]. - The company anticipates a gross margin improvement, with Q4 2025 gross margin reaching 40.46%, up 3.26 percentage points year-over-year [8]. Product and Market Strategy - The company has clear sales targets for its core products, including 30 million units of 6nm chips and over 1 million units of Wi-Fi 6 chips in 2026 [8]. - A diverse business strategy is in place, with collaborations with nearly 270 global operators and partnerships with well-known consumer electronics clients [8]. - The company is implementing proactive inventory strategies to ensure stable supply and pricing for its SoC products, enhancing operational sustainability [8].