21 August 2025 | 10:20PM HKT AAC (2018.HK): 2H25 GM to improve on handset lens mix upgrade and acoustics recovery; TP up to HK$63.6; Buy AAC's 1H25 optical GM increased while blended GM was down to 20.7% (report link), and we expect to see GM recover in 2H25E to 23.6%, driven by (1) handset lens GM improvement to over 30% in 2H25E on better mix towards 6P & above, (2) acoustics GM recovery on mass production of mid-/high-end projects (SLS speaker etc.), and (3) diversification to automotive acoustics and co ...