Investment Rating - The report maintains a "Hold" rating for the company, with a current price of 18.14 CNY and a target price not specified for the next six months [8][9]. Core Insights - The company experienced revenue growth of 8.3% year-on-year in 2023, achieving total revenue of 1.32 billion CNY, while the net profit attributable to shareholders decreased by 1.6% to 220 million CNY [26][27]. - The company is a global leader in PCB drilling needles, holding a 19% market share in 2020, and is expanding its production capacity in various segments, including CNC tools and functional films [27][28]. - The company anticipates a recovery in demand for consumer electronics, which is expected to improve capacity utilization rates above 85% from 2024 to 2026 [2][3]. Financial Performance Summary - In 2023, the company reported a comprehensive gross margin of 36.4%, a decrease of 2.3 percentage points year-on-year, primarily due to increased competition and rising raw material prices [7][8]. - The company’s net profit margin for 2023 was 16.6%, down 1.6 percentage points from the previous year, with a quarterly net profit margin of 12.8% in Q4, reflecting a significant decline [8][9]. - Revenue projections for 2024-2026 are estimated at 1.22 billion CNY, 1.39 billion CNY, and 1.51 billion CNY, respectively, with a compound annual growth rate of 22% for net profit [9][28]. Business Segment Performance - The company's tool products saw a revenue increase of 0.6% year-on-year, while functional film materials and intelligent CNC equipment experienced substantial growth of 229.8% and 278.5%, respectively [7][27]. - The report highlights the strategic focus on expanding the production of CNC tools and developing functional film products, including privacy films and automotive light control films, which are expected to drive future growth [27][31].
2023年年报点评：2023年业绩承压，期待3C需求复苏