SUNWAY COMM(SZ:300136) Soochow Securities·2024-04-25 05:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The consumer electronics business is under short-term pressure, but there is optimism for growth in overseas business and recovery in the main business [3] - The company reported a revenue of 7.548 billion yuan in 2023, a decrease of 12% year-on-year, and a net profit attributable to shareholders of 521.4 million yuan, down 20% year-on-year. The Q1 2024 revenue was 1.9 billion yuan, with a net profit of 150 million yuan, showing a 4% year-on-year increase [3][4] Summary by Relevant Sections Financial Performance - In 2023, the company achieved total revenue of 75.48 billion yuan, down 12% year-on-year, and a net profit of 5.214 billion yuan, down 20% year-on-year. The Q1 2024 revenue was 1.9 billion yuan, with a net profit of 150 million yuan, reflecting a 4% year-on-year growth [3][4] - The forecast for net profit attributable to shareholders is adjusted to 796 million yuan for 2024 and 1.242 billion yuan for 2025, with a new estimate of 1.722 billion yuan for 2026 [4] Business Growth Drivers - The growth in the antenna business is supported by the increasing penetration of 5G smartphones and the rising number of antennas required for these devices [3] - The wireless charging market is expanding due to its strong compatibility and diverse application scenarios, with the company having developed a vertical integration capability from materials to modules [3] - The global satellite network coverage is expected to enhance the penetration rate of ground receivers, benefiting from the deployment of Starlink satellites [3] Valuation Metrics - The latest diluted EPS for 2023 was 0.54 yuan per share, with projections of 0.82 yuan for 2024 and 1.28 yuan for 2025 [2][4] - The P/E ratio is projected to decrease from 31.86 in 2023 to 20.88 in 2024, and further down to 13.37 in 2025 [2][4]