Summary of Weigao Conference Call Company Overview - Weigao focuses on AI server power supply business, with 80% of products used for AI servers [2][3] - The company is currently engaged in small batch delivery certification for secondary power supplies, expecting large orders by year-end [2][3] - The GB300 series has seen a significant increase in shipment volume since September 15 [2][7] Key Points Industry and Market Position - Weigao's production capacity structure consists of 60% for back copper plates and power boards, expected to reach 65% by mid-2024 [2][5] - Display products account for approximately 20% of the capacity, with automotive electronics (mainly BYD) contributing about 8-10% [2][5] - The company produces optical modules with specifications up to 800G, without involvement in 1.6T products [2][6] Financial Performance and Projections - For 2025, Weigao anticipates revenue of approximately 1.6 billion yuan, with a target of over 2.5 billion yuan for 2026 [4][19] - The company expects a profit margin contribution of 8-10% from Thai operations in the second half of 2025, reaching a normal level of 10% by year-end [3][19] - Third-quarter performance met expectations, with increased shipments of GB300 products [20] Product Development and Upgrades - Weigao is upgrading power supplies from 5.5kW to 8kW, increasing the number of modules in GB200 and GB300 models to eight [4][11] - The Ruby project will implement HDR technology for 8kW power supplies starting in 2026, enhancing integration and value [12][8] - The company is collaborating with Delta to develop new samples and high-voltage direct current solutions [9][8] Customer Relationships and Collaborations - Weigao has a strong cooperative intention with Micromet's Thai factory but has not yet collaborated on NV products [15] - There is no current procurement or collaboration with BYD Electronics regarding NV-related products [15] Supply Chain and Capacity Expansion - The Thai production capacity expansion to 100,000 square meters is underway, with equipment expected to arrive by year-end [3][18] - The company is actively discussing the timing of capacity startup for 2025 or 2026 to ensure smooth supply [18] Challenges and Market Conditions - The company faced supply chain issues in the second quarter but has since recovered, with third-quarter performance normalizing [20] - Long-term projections for orders from Delta indicate significant growth, prompting Weigao to prepare sufficient capacity [17] Additional Insights - The optical communication sector has low order volumes, contributing minimally to revenue [5] - The company is in the design phase for HVDC-related products, with ongoing collaboration with Delta for product upgrades [14]