Delphi Laser(SH:688170) Soochow Securities·2024-04-28 08:00Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for the next six months [6][30]. Core Views - The company achieved a revenue of 582 million yuan in 2023, representing a year-on-year increase of 2.35% [2][40]. - The net profit attributable to shareholders was 39.05 million yuan, a decrease of 42.06% year-on-year, primarily due to the introduction of new products and increased R&D expenses [14][40]. - The company is focusing on advanced laser micro-processing developments across multiple sectors, including SiC crystal slicing and Micro LED technology, indicating a strong potential for breakthroughs [18][46]. Financial Performance - The gross profit margin for 2023 was 46.61%, down 3.09 percentage points year-on-year, while the net profit margin was 6.71%, down 5.14 percentage points [13][41]. - The company’s total revenue is projected to grow significantly in the coming years, with estimates of 809 million yuan in 2024 and 1.08 billion yuan in 2025, reflecting growth rates of 39.10% and 34.37% respectively [12][30]. - The company’s contract liabilities increased to 147 million yuan, up 24.46% year-on-year, indicating a robust order backlog [36][44]. Product Development and Market Position - The company is actively developing products in cutting-edge fields, achieving significant orders from key clients in 2023, particularly in SiC laser slicing and Micro LED equipment [18][28]. - The introduction of new products has been slower than expected, impacting revenue growth, but the company is optimistic about future performance as these products gain market acceptance [40][18]. Cash Flow and Financial Health - The operating cash flow for 2024Q1 was negative 34 million yuan, a significant decline of 1023.17% year-on-year, primarily due to increased orders and prepayments [36][44]. - The company’s total assets are projected to grow from 1.75 billion yuan in 2023 to 2.79 billion yuan by 2026, indicating a strong growth trajectory [55].