Yuanjie Semiconductor Technology (688498) Tianfeng Securities·2024-02-01 16:00Investment Rating - The report maintains a "Buy" rating for the company, with an expected relative return of over 20% within six months [22]. Core Views - The company expects a significant decline in net profit for 2023, projecting a range of 18 to 26 million yuan, which represents a year-on-year decrease of 74% to 82% [2]. - The company plans to repurchase shares worth 50 to 100 million yuan to enhance investor confidence and support long-term value [4]. - The anticipated revenue growth will primarily come from new products such as 10G EML, 100G EML, and CW light source products, with AI driving demand for higher capacity modules [20]. Financial Performance Summary - The company's revenue for 2023 is estimated at 152.56 million yuan, a decrease of 46.07% compared to 2022 [10]. - The projected net profit for 2023 is 22 million yuan, down 78.06% from the previous year [10]. - The company’s EBITDA for 2023 is expected to be 79.47 million yuan, reflecting a significant decline from previous years [10]. Product and Market Insights - The traditional business has faced challenges due to reduced demand from downstream customers and increased competition in product pricing [9]. - The company is focusing on new product launches, which are expected to be key growth drivers moving forward [9][20]. Shareholder Value Initiatives - The proposed share repurchase is aimed at stock incentive plans or capital reduction, indicating a commitment to enhancing shareholder value [4][10].