Summary of Key Points from the Conference Call Industry Overview - The conference call focused on the Taiwan technology sector, particularly semiconductor companies such as TSMC, MediaTek, and UMC, as well as emerging companies like MPI and WinWay [1][3][4]. Core Insights and Arguments TSMC (Taiwan Semiconductor Manufacturing Company) - Investor sentiment regarding AI demand has improved, with a decreasing likelihood of significant AI order cuts in the near term due to better assembly yields from downstream ODMs [3][5]. - TSMC's CoWoS shipments and capacity are expected to grow by 52% and 58% year-over-year in 2026, with capacity increasing from 660k wafers in 2025 to 1,000k wafers in 2026 [5]. - The company's capital expenditure (capex) outlook has been trimmed to US$40 billion for 2026, down from US$45 billion, reflecting potential slower adoption of 2nm technology [5][16]. - TSMC is projected to achieve a 20% revenue compound annual growth rate (CAGR) over the next several years, driven by increasing silicon content and AI demand [14][16]. MediaTek - There are concerns regarding MediaTek's AI ASIC business, with potential revenue expectations for 2026 around US$1 billion [7][18]. - Despite near-term uncertainties, there is optimism about MediaTek's long-term growth in ASICs and its expansion into new markets [7][19]. - MediaTek is expected to see revenue and earnings grow by 16% and 21% CAGR from 2025 to 2027, driven by market share gains and new total addressable markets (TAM) [19][20]. UMC (United Microelectronics Corporation) - UMC has been downgraded to a Sell rating due to risks associated with order cuts and unfavorable foreign exchange trends [8][22]. - The company faces intense pricing pressure from aggressive capacity expansion by mainland Chinese foundries, which is expected to impact its profitability [8][22]. - UMC's share price has increased by 10% year-to-date, but the outlook remains cautious due to competition and potential order cuts in non-AI applications [8][22]. MPI and WinWay - MPI is positioned as a leading probe card provider, with expectations of revenue and earnings CAGR of 19% and 28% from 2024 to 2027, driven by market share gains and increased self-sufficiency [25][27]. - WinWay, a socket provider, is expected to see revenue and earnings accelerate at 23% and 37% CAGR from 2024 to 2027, supported by demand from the AI/HPC segment [30][31]. - Both companies are trading below their historical average P/E ratios, indicating potential upside in their valuations [27][31]. Other Important Insights - Investor sentiment is cautiously optimistic about AI demand, with some investors shifting to a more positive stance as geopolitical tensions and supply chain issues ease [3][5]. - The overall market dynamics for the semiconductor industry are influenced by the ongoing technology migration and increasing complexity of chips, which is driving demand for advanced testing solutions [10][11][31]. - The conference highlighted the importance of understanding the competitive landscape and potential new business opportunities for companies in the semiconductor sector [9][10]. This summary encapsulates the key points discussed during the conference call, providing insights into the current state and future outlook of the Taiwan technology sector, particularly in the semiconductor industry.

Core Insights - Advanced packaging is transitioning from a "non-mainstream Plan B" to a "mainstream Plan A" in the semiconductor industry, driven by three key forces [1][4][7] Group 1: Key Forces Driving Advanced Packaging - The first force is the explosion of computing power, while process advancements are slowing down, necessitating chip cutting, stacking, and reorganization. Chiplets are seen as a solution to overcome limitations in chip area [1][2] - The second force is the diversification of applications, moving away from a single-chip solution to modular system designs. Advanced packaging combined with chiplets offers a balance of design flexibility and efficiency [1][2] - The third force is the rising cost of data transportation, where energy consumption for data movement often exceeds that of computation. Advanced packaging addresses this by reducing the distance data needs to travel, enhancing overall efficiency [2] Group 2: Market Growth and Investment - The advanced packaging industry is projected to achieve a compound annual growth rate (CAGR) of 12.9% over the next six years, with revenues expected to grow from $39.2 billion in 2023 to $81.1 billion by 2029 [4] - Major players in the industry, including TSMC, Intel, and Samsung, are significantly investing in advanced packaging capabilities, with an estimated $11.5 billion investment planned for 2024 [4][7] - Despite a seasonal decline in Q1 2024, advanced packaging revenue is expected to rebound in Q2 2024, reaching $10.7 billion, indicating resilience in the market [4][7]

Core Insights - MiTAC Computing Technology Corporation has launched a comprehensive suite of next-generation servers at COMPUTEX 2025, powered by Intel Xeon 6 processors, aimed at AI, HPC, cloud, and enterprise applications [1][2] Product Offerings - The MiTAC G4527G6 is a 4U AI server featuring dual Intel Xeon 6767P processors, supporting up to 8 GPUs and 32 DDR5-6400 RDIMM slots with a maximum memory of 8TB, designed for AI training and advanced analytics [3] - The MiTAC G4520G6 is optimized for compute-intensive workloads, featuring dual Intel Xeon 6700P processors, 8 high-performance GPUs, and energy-efficient power supplies [4] - The MiTAC M2710G6 and M2510G6 are high-density cloud servers, with the M2710G6 supporting Intel Xeon 6900P series processors and up to 128 computing cores per node, while the M2510G6 is a cost-efficient option for cloud service providers [5] - The MiTAC R1520G6 is a 1U dual-socket server optimized for memory-intensive computing, featuring Intel Xeon 6700P series processors and 10 NVMe U.2 drive bays [6] - The MiTAC R2513G6 is a storage-optimized 2U system supporting up to 24 x 3.5" SATA drives, designed for storage-intensive environments [7] - The MiTAC R2520G6 is a versatile 2U dual-socket platform supporting 32 DDR5-6400 RDIMM slots and flexible storage options, ideal for ERP and business intelligence applications [8] Strategic Collaboration - MiTAC and Intel have maintained a collaborative relationship for over five decades, combining Intel's processing power with MiTAC's system design expertise to deliver scalable solutions for modern data centers [2][9] Industry Positioning - MiTAC Computing specializes in AI, HPC, cloud, and edge computing, ensuring high-quality server solutions through rigorous methods and a commitment to performance at all system levels [11][12]

Customer Success & Technology - DDN emphasizes customer success through its HPC experience, focusing on scale, end-to-end configurations, and tuning to ensure successful deployments [2] - DDN's partnership with Nvidia is 30 years old, with Nvidia using DDN for testing, including 4,000 Blackwell GPUs in their lab [2] - DDN highlights the importance of two pillars: Exascaler for large-scale GPU deployments and Infinia as a data intelligence platform [9][10] - DDN's solutions are designed for simple scalability, allowing customers to easily increase capacity by adding more DDN units [11] AI Market & Deployment - AI is permeating across various sectors, including cloud, industries, and daily life, driving significant changes in the next 10 years [3] - DDN is experiencing high demand and is actively hiring to meet customer needs and maintain delivery value [3] - DDN estimates supporting over 1 million GPUs before summer [3] Key Verticals & Partnerships - DDN serves various markets, including NCP/AI providers, healthcare (San Jud), financial services (HFT, fraud detection), energy (oil and gas), automotive (4GM, Tesla), defense, and public sector (NASA) [3] - DDN collaborates with technology partners like Super Micro, Nvidia, and others to deliver solutions at massive scale [6] - DDN has AI cloud program partners, including GCP and Scaleway, offering DDN solutions [6] Product Performance & Innovation - DDN's systems are running at 100% flawlessly [4] - Xia is running a quarter of a thousand GPUs based on 150 terabytes of Exascaler and close to 600 petabytes of Infinia for production [7] - DDN values customers who push the limits of their products, driving innovation and improvements [8]

Core Viewpoint - AMD's Instinct MI325X accelerator faces significant commercial challenges due to limited scalability and shipment delays, especially in comparison to Nvidia's offerings [1][2]. Group 1: Scalability and Performance - The maximum scalable configuration for AMD's Instinct MI325X and MI355X is limited to 8 GPUs, while Nvidia's B200 can scale up to 72 GPUs using NVLink interconnect [2]. - To build a cluster with more than 8 GPUs based on AMD, a shift to a different architecture is required, which reduces scalability [2]. - The MI325X has high power consumption (1000W) and does not show significant performance improvements over the MI300, complicating upgrades from existing platforms [2]. Group 2: Market Reception and Future Prospects - Microsoft expressed disappointment with AMD's GPUs as early as 2024, leading to a lack of follow-up orders, although Oracle and other companies have shown renewed interest due to AMD's price reductions [3]. - If the MI355X is competitively priced and supported by robust software, it may gain some traction, but it will still struggle to compete with Nvidia's rack-scale GB200 NVL72 [3]. - SemiAnalysis suggests that the MI355X could succeed in non-rack scale deployments if it has a competitive total cost of ownership (TCO) and improved software [3].

Investment Rating - The report gives an optimistic outlook for Samsung Electronics, indicating a positive investment rating for the company based on its strong performance in Q1 2025 and anticipated growth in AI server demand [1]. Core Insights - Samsung Electronics achieved a record high revenue of 79.14 trillion KRW in Q1 2025, driven by strong sales of the Galaxy S25 series and high-end display products, offsetting declines in the storage business [2][9]. - The report highlights a decline in HBM sales due to ASP decreases, AI chip export controls, and delays in HBM3E product launches, but maintains an optimistic outlook for AI server demand in the upcoming quarters [3][38]. - The company plans to focus on flagship and AI products to drive sales during the traditionally weaker Q2, with expectations of continued strong performance from the Galaxy S25 series [4][46]. Revenue Breakdown DS Division - The DS division reported revenue of 25.1 trillion KRW, a year-on-year increase of 9% but a quarter-on-quarter decline of 17% [16]. - The storage business generated 19.1 trillion KRW, with DRAM sales exceeding expectations, while HBM sales declined due to market conditions and export controls [17][39]. - The system semiconductor business saw a slight revenue increase driven by seasonal demand recovery in image sensors, despite a challenging smartphone market [19]. SDC Division - The SDC division achieved revenue of 5.9 trillion KRW, with a year-on-year increase of 9% but a quarter-on-quarter decline of 28% [23]. - The mobile display business improved year-on-year due to favorable exchange rates, while the large panel business benefited from the launch of new QD-OLED products [25][26]. DX Division - The DX division reported revenue of 51.7 trillion KRW, a year-on-year increase of 9% and a quarter-on-quarter increase of 28% [27]. - The MX business saw revenue of 37.0 trillion KRW, driven by strong sales of the Galaxy S25 series, while the VD business faced challenges in the TV market but maintained high demand for premium products [28][35]. Company Performance Guidance DS Division - For Q2 2025, strong AI server demand is expected to continue, with a focus on high-density products and a transition to V8 technology to enhance cost competitiveness [38][39]. - In H2 2025, the company anticipates a recovery in server SSD demand and continued growth in mobile and PC memory due to AI service proliferation [39]. SDC Division - The mobile display business outlook for Q2 2025 is conservative due to external factors, but the company aims to expand sales by meeting new product demands from major clients [44]. - In H2 2025, the company plans to enhance its product lineup and expand into the B2C and B2B markets with new QD-OLED products [45]. DX Division - The MX division expects a decline in smartphone shipments and average selling prices in Q2 2025, but plans to leverage flagship models to maintain sales momentum [46]. - In H2 2025, the company will focus on high-end products and explore new market opportunities to drive growth [47].

Q1 2025 Results Presentation 30th April 2025 Disclaimer The information contained in this presentation is provided for informational purpose only and should not be relied upon for the purpose of making any investment or for any other purpose. Some of the information used in preparing this presentation was obtained from third parties or public sources. The information contained in this presentation has not been independently verified. No representation or warranty, expressed or implied, is made as to, and no ...

Investment Rating - The investment rating for the company is "Accumulate" [3] Core Views - The company reported a slight year-on-year revenue increase of 4.5% in Q1 2025, with revenue of 109 million yuan, but faced a quarter-on-quarter decline of 17.7% due to supply constraints [6] - The company is focusing on improving its supply chain capabilities and has plans to establish a dual-cycle supply system to enhance stability and cost efficiency [6] - Key areas for future research and development include automotive electronics, micro-displays, AR/VR, and high-performance computing (HPC) [6] - The company expects revenue growth to reach 693 million yuan in 2025, with a net profit of 199 million yuan, corresponding to a PE ratio of 49.3 [6] Financial Data and Valuation - Total revenue is projected to grow from 323 million yuan in 2023 to 1.31 billion yuan in 2027, with a compound annual growth rate (CAGR) of 34% to 31% [2][12] - Operating profit is expected to increase from 103 million yuan in 2023 to 391 million yuan in 2027, with a CAGR of 48% to 33% [2][12] - The company's net profit attributable to shareholders is forecasted to rise from 103 million yuan in 2023 to 372 million yuan in 2027, with a CAGR of 48% to 32% [2][12] - The company maintains a healthy balance sheet with a debt ratio of 9.0% and a return on equity (ROE) of 10.2% [3][12] Stock Performance - The company's stock has shown strong performance, with a 1-month absolute return of 31%, a 6-month return of 173%, and a 12-month return of 114% [5]

点击招商研究小程序查看PDF报告原文 长电科技是全球第三/国内第一的OSAT厂商，在中国/韩国/新加坡拥有八大生产基地和两大生产中心。 长电科技发布2024年年报和2025年一季报，结合公告信息，点评如下： 长电科技25Q1营收受晟碟并表影响同比高增长，单季利润率同比相对稳定。 2024年：营收359.62亿 元，同比+21.24%，晟碟在24Q4已并表贡献收入，归母净利润16.1亿元，同比+9.44%，毛利率13.06%， 同比-0.59pct，净利率4.48%，同比-0.48pct。25Q1：营收93.35亿元，同比+36.4%/环比-15%，同比高增 长部分系晟碟并表贡献，归母净利润2.03亿元，同比+50.4%/环比-61.9%，毛利率12.63%，同比+0.43pct/ 环比-0.71pct，净利率2.18%，同比+0.23pct/环比-2.74pct。 子公司方面，星科金朋、长电韩国、江阴长电为公司2024年利润核心贡献点。 1）星科金朋：24年营收 121亿元，同比+5.8%，净利润2.6亿美元，同比+118%，订单量增加，产能利用率有所提升；2）长电韩 国：24年营收157亿元，同比+27%， ...

Investment Rating - The report maintains an "Outperform" rating for the industry [1] Core Insights - Strong demand for HPC is expected to drive a 13% quarter-over-quarter revenue increase in Q2 2025, with a median revenue guidance of $28.8 billion [2][24] - AI accelerator revenue is projected to double, supporting a year-over-year revenue growth expectation of 25% for 2025 [4][31] - The global semiconductor industry (excluding memory) is forecasted to grow by 10% year-over-year in 2025 [48] Summary by Sections Q1 2025 Summary - Q1 2025 revenue decreased by 5.1% quarter-over-quarter due to seasonal factors in the smartphone market, while AI demand remained strong [2][9] - The gross margin for Q1 2025 was 58.8%, positioned at the upper limit of guidance [9][27] - HPC revenue grew by 7% quarter-over-quarter, accounting for 59% of total revenue [15][11] Q2 2025 Outlook - Revenue guidance for Q2 2025 is set at a median of $28.8 billion, reflecting a 12.8% quarter-over-quarter increase driven by HPC demand [25][24] - The gross margin for Q2 2025 is expected to be around 58.0%, a decrease of 0.8 percentage points from Q1 [27][29] 2025 Industry Outlook - The report maintains a revenue growth expectation of approximately 25% year-over-year for 2025, with AI accelerator revenue projected to reach $32.4 billion [34][31] - CoWoS orders remain intact, with production capacity expected to double to 70,000 wafers per month by the end of 2025 [35][39] - TSMC forecasts a compound annual growth rate (CAGR) of nearly 20% for revenue from 2024 to 2029, with AI accelerator revenue CAGR projected at 40% [40][41] Semiconductor Market Analysis - The semiconductor market is anticipated to recover, with inventory days expected to stabilize between 105 and 110 days by the end of 2025 [49][51] - The global semiconductor market (excluding memory) is projected to grow by 10% year-over-year in 2025 [48][51] - The demand for semiconductors is expected to be driven by a mild recovery in consumer electronics and a new product innovation cycle initiated by AI [52][51]