ASMPT(HK:00522) Great Wall Securities·2024-03-03 16:00Investment Rating - The report maintains a rating of "Buy" for ASMPT, expecting a price increase of 5% to 15% relative to the industry index over the next six months [10] Core Views - The company's Q4 earnings showed a sequential recovery, driven by increased orders in advanced packaging due to AI demand [1] - The overall performance in 2023 was impacted by a decline in consumer electronics demand, particularly in personal computers and smartphones, leading to a significant drop in sales revenue [2] - The semiconductor solutions segment saw a revenue decline of 37% year-on-year, while the surface mount technology solutions segment experienced a 10% decline [2] - The automotive and advanced packaging markets are expected to grow, with the automotive market projected to increase from approximately $1.8 billion in 2024 to $2.6 billion by 2028, representing a compound annual growth rate (CAGR) of about 10% [2] Financial Summary - In 2023, ASMPT reported sales revenue of HKD 14,697 million, a decrease of 24.1% year-on-year, and a net profit of HKD 715 million, down 72.7% year-on-year [1][2] - The company’s gross margin for 2023 was 39.3%, a decline of 1.86 percentage points year-on-year, while the profit margin was 5.1%, down 8.45 percentage points year-on-year [2] - For Q4 2023, the company achieved sales revenue of HKD 3,400 million, a year-on-year decrease of 21.4%, but a sequential increase of 493.4% in profit to HKD 76 million [1][2] - The forecast for net profit for 2024 to 2026 is HKD 1,243 million, HKD 2,009 million, and HKD 2,409 million respectively, with corresponding EPS of HKD 3.00, HKD 4.85, and HKD 5.81 [5]