MACMIC(SH:688711) Donghai Securities·2024-04-30 10:30Rating - The investment rating for the company is adjusted to "Accumulate" due to performance review [10][17]. Core Views - The company's Q1 2024 revenue and gross profit are under short-term pressure, primarily due to fluctuations in downstream demand, equipment depreciation, and initial investments in production lines. However, this does not alter the long-term positive trend of the company's performance [19]. - The company achieved a revenue of 246 million yuan in Q1 2024, a year-on-year decrease of 25.59% and a quarter-on-quarter decrease of 33.27%. The gross margin was 15.88%, down 3.56 percentage points year-on-year and down 8.71 percentage points quarter-on-quarter [3][19]. - In 2023, the company reported a revenue of 1.505 billion yuan, a year-on-year increase of 62.48%, and a net profit attributable to shareholders of 116 million yuan, a year-on-year increase of 47.63% [3]. Summary by Sections Company Overview - The company operates in the semiconductor industry, focusing on industrial control, new energy generation, and electric vehicles. In 2023, the revenue breakdown was 39.13% from industrial control, 37.21% from new energy generation, and 22.07% from electric vehicles [3][8]. Financial Performance - The company’s revenue for 2023 was 1.505 billion yuan, with a gross margin of 22.18%, reflecting a year-on-year increase of 1.28 percentage points. The net profit for the same year was 116 million yuan, with a net profit margin of 7.71% [3][11]. - The company expects net profits of 115 million yuan, 186 million yuan, and 235 million yuan for 2024, 2025, and 2026, respectively, with corresponding PE ratios of 33, 20, and 16 times [10][11]. Production Capacity and Investment - The company has ongoing capacity expansion projects, with production bases in Huashan and Hsinchu. The total planned capacity is 1.44 million units per year, with significant progress in production line installations [8][10]. - The company has completed investments in its new semiconductor device production base and R&D center, which are expected to enhance production capabilities significantly [8][10]. Research and Development - The company has increased its R&D investment by 68.17% in 2023, accounting for 7.18% of total revenue. It has made significant advancements in IGBT and FRD products, focusing on high-end fields such as SiC [20][21].