Investment Rating - The investment rating for the company is "Accumulate" (maintained) [2] Core Views - The company has a full order book and is expected to achieve high growth from core customers [7] - The company is accelerating its new product layout through a private placement to enhance its capabilities in high-speed transmission technology [7] - The company is projected to achieve significant revenue growth in the coming years, with expected revenues of 24.09 billion, 43.85 billion, and 57.45 billion yuan for 2025, 2026, and 2027 respectively [7] Financial Performance Summary - For the first three quarters of 2025, the company achieved revenue of 1.659 billion yuan, a year-on-year increase of 121.47%, and a net profit of 223 million yuan, a year-on-year increase of 558.51% [7] - The company’s revenue for Q3 2025 was 554 million yuan, a year-on-year increase of 109.07%, but a quarter-on-quarter decrease of 20.74% [7] - The company’s earnings per share (EPS) are projected to be 0.70 yuan in 2025, 1.59 yuan in 2026, and 2.24 yuan in 2027 [6][8] Revenue and Profit Forecast - Revenue growth rates are expected to be 120.6% in 2025, 82.0% in 2026, and 31.0% in 2027 [6] - The projected net profit for 2025 is 322 million yuan, for 2026 is 732 million yuan, and for 2027 is 1.032 billion yuan [6][8] - The price-to-earnings (PE) ratio is expected to decrease from 105.7 in 2025 to 33.0 in 2027 [6][8] Market Position and Strategy - The company is rapidly integrating its high-speed line modules with major clients such as Huawei, Inspur, and Alibaba, indicating strong market demand [7] - The company is focusing on enhancing its production capacity and technological capabilities to maintain its leading position in the high-speed interconnect product sector [7]

Core Insights - The company reported a significant increase in revenue and net profit for the first three quarters of 2025, achieving total revenue of 1.518 billion yuan, a year-on-year growth of 13.28%, and a net profit attributable to shareholders of 138 million yuan, a year-on-year increase of 53.82% [1][3] Financial Performance - The company's gross profit margin for the first three quarters was 20.44%, an increase of 4.53 percentage points compared to the same period last year [3] - The net profit margin was 9.1%, reflecting a year-on-year increase of 2.4 percentage points [3] - The diluted return on equity (ROE) excluding non-recurring items was 10.06%, up by 4.04 percentage points year-on-year [3] Business Overview - The company specializes in the design, manufacturing, and sales of data cables, specialized cables, and connection products, serving various sectors including telecommunications, cloud computing, data centers, AI computing centers, industrial internet, automotive Ethernet, and specialized applications such as medical, photovoltaic, industrial robotics, nuclear power, and aerospace [3] - The company has developed a product matrix for high-speed transmission technology, capable of mass production for transmission components and supporting high-speed transmission cables with rates up to 800 Gb/s, addressing the growing demand for data transmission in large and super data centers and high-speed communication fields [3] Cash Flow Improvement - The net cash flow from operating activities for the first three quarters reached 179 million yuan, representing a year-on-year increase of 167.16% [3] - As of the end of the third quarter, the company's cash and cash equivalents amounted to 256 million yuan, a year-on-year increase of 16.89% [3]