JCET(SH:600584) GF SECURITIES·2024-04-23 05:32Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 38.81 CNY per share based on a 30x PE for 2024 [5][3]. Core Insights - The company's revenue for 2023 was approximately 29.661 billion CNY, a year-over-year decrease of 12.15%. The net profit attributable to shareholders was 1.471 billion CNY, down 54.48% year-over-year. The gross margin was 13.65%, a decline of 3.38 percentage points, and the net margin was 4.96%, down 4.61 percentage points. In Q4 2023, revenue rebounded to 9.231 billion CNY, a year-over-year increase of 2.75% and a quarter-over-quarter increase of 11.8% [2][3]. - The company is actively responding to market changes by enhancing its innovation-driven development model, optimizing its business structure, and focusing on high-performance advanced packaging product upgrades. This has led to a gradual recovery in operational performance [2][3]. - The high-performance advanced packaging business is progressing steadily, with the XDFOI® Chiplet series entering stable mass production. The company is positioned as a leader in domestic storage testing and packaging, with capabilities in various storage chip products, including 16-layer NAND flash stacking and hybrid stacking technologies [2]. Financial Summary - For 2023, the company reported a revenue of 29.661 billion CNY, with a projected revenue growth of 14.4% in 2024, reaching approximately 33.934 billion CNY. The net profit is expected to recover to 2.315 billion CNY in 2024, reflecting a growth rate of 57.4% [4][3]. - The EBITDA for 2023 was 5.222 billion CNY, with projections of 5.694 billion CNY for 2024, indicating a recovery trend in profitability [4][3]. - The report highlights a significant drop in net profit margin from 9.2% in 2022 to 5.6% in 2023, with expectations of gradual improvement in the coming years [10].