FAST PRINT(SZ:002436)2024-04-26 12:00Investment Rating - The report maintains an "Accumulate" rating for the company [2][4] Core Views - The company is advancing its FCBGA packaging substrate while upgrading traditional PCB products, with a positive outlook for performance recovery as production capacity is released and industry conditions improve [2][4] - The company faced pressure on its performance in 2023, but reported significant profit growth in Q1 2024, driven by investments in FCBGA projects [2][4] Financial Summary - In 2023, the company achieved revenue of RMB 5.36 billion, a year-on-year increase of 0.11%, but net profit attributable to shareholders dropped by 59.82% to RMB 211 million [4][5] - For Q1 2024, revenue reached RMB 1.39 billion, up 10.92% year-on-year, with net profit attributable to shareholders soaring by 230.82% to RMB 25 million [4][5] - The company’s gross margin for 2023 was 23.32%, down 5.34 percentage points, while Q1 2024 gross margin was 17.07%, reflecting a year-on-year decrease of 7.08 percentage points [4][5] Business Development - The FCBGA packaging substrate business is progressing steadily, with the Zhuhai project expected to start mass production in Q2 2024 and the Guangzhou project in Q3 2024 [4][5] - The company has expanded its capabilities into high-end PCB products through acquisitions, enhancing its product offerings in advanced mobile phones and communication modules [4][5] Production Efficiency - The average production cycle for high-end PCB samples has been reduced to 5 days, with yield rates exceeding 98% [4][5] - The yield rates for FCBGA substrates have improved significantly, with low-layer boards reaching 90% and high-layer boards at over 85% [4][5] Valuation - Despite short-term profitability challenges due to FCBGA project investments, the company is expected to strengthen its market competitiveness, with projected revenues of RMB 6.34 billion, RMB 8.67 billion, and RMB 10.44 billion for 2024, 2025, and 2026 respectively [4][5]