GC Tech: Conant Optical (2276.HK): AI / AR glasses customized lenses with lightness; new capacity expansion to capture growing demand We met Conant Optical's (2276.HK, Not Covered) management in Hong Kong recently. Conant Optical is a leading China resin lenses manufacturer, and is expanding its business from the spectacle lens market to AI / AR glasses to capture a larger addressable market. Overall, management expects to see sustained growth in the company's existing core business, and is positive on the ...

Core Viewpoint - Xiaomi's recent product launch of the YU7 SUV has generated nearly 300,000 orders within one hour, significantly surpassing market expectations, which is expected to enhance earnings consensus and support valuation multiple expansion for the company [1] Group 1: YU7 SUV - The YU7 SUV received over 289,000 confirmed orders in the first hour of its launch, exceeding market expectations against the in-line MSRP [1] - The initial order backlog may face challenges from scalping, and production capacity constraints are anticipated to limit sales growth over the next year, with a maximum delivery estimate of 1 million units by 2026 [1] - The order frenzy for the YU7 is expected to benefit Li Auto with its upcoming i-series BEV models and Xiaomi's supply chain, including its exclusive LIDAR supplier [1] Group 2: AI Glasses - Xiaomi's AI glasses, comparable to Meta-Rayban products but with superior specifications, are expected to succeed in the Chinese market due to limited competition within Xiaomi's ecosystem [1] - The single-color electrochromic version of the AI glasses sold out within half an hour of launch [1] Group 3: MIX Flip2 Smartphone - The MIX Flip2, Xiaomi's latest compact foldable flagship smartphone, features significant upgrades in design, performance, battery life, and imaging systems, with a starting price of RMB 5,999 [2] - The MIX Flip2 is anticipated to become a key player in the 2025 compact foldable smartphone market [2] Group 4: Valuation - Xiaomi is reiterated as a top BUY due to its strong EV growth, progress in smartphone and IoT products, and exposure to AI, AR glasses, and robotics [3] - The target price of HK$75.25 is based on a sum-of-the-parts (SOTP) valuation, combining a 21x 2026E P/E for traditional business and a 4x 2026E P/S for the EV business [3]

Core Viewpoint - Xiaomi reported strong 1Q25 results with revenue and adjusted net income increasing by 47% and 65% YoY to RMB111 billion and RMB11 billion respectively, surpassing consensus estimates [1][2] Financial Performance - Revenue reached RMB111 billion, a 47% YoY increase, with improved gross profit margin (GPM) at 22.8%, up 2.2 percentage points QoQ, beating consensus by 2% [2] - Adjusted net income of RMB10.7 billion exceeded estimates by 10% and 18% [2] - Operating profit margin (OPM) improved by 3.6 percentage points QoQ to 9%, indicating effective operational expense leverage [2] Smart EV Business - Smart EV revenue rose by 11.5% QoQ to RMB18.6 billion, with GPM expanding 2.7 percentage points QoQ to 23.2%, driven by a favorable sales mix and improved scale effects [3] - Adjusted net loss for the EV segment decreased to RMB195 million from RMB730 million in 4Q24, reflecting better GPM and strict OPEX control [3] Smartphone Segment - Smartphone revenue reached RMB51 billion, a 9% YoY increase, supported by a 3% rise in shipments to 42 million and a 6% increase in average selling price (ASP) to RMB1,211 [4] - GPM for smartphones improved to 12.4%, with expectations for further increases due to a higher premium product mix and lower component costs [4] IoT Segment - IoT revenue and GPM continued to grow, driven by strong sales in large home appliances (up 114% YoY), tablets, and wearables, with Xiaomi aiming for a Top 3 market share in major large home appliances by 2025 [5] - Projected revenue CAGR for Xiaomi IoT is 17% from 2024 to 2027 [5] Internet Services - Revenue from internet services grew 13% YoY to RMB9.1 billion, with stable GPM at 76.9%, primarily due to strong advertising performance [6] - Expected internet services revenue to reach RMB38 billion in 2025, supported by stable monthly active user growth [6] Valuation - 2025/26E EPS estimates were slightly increased due to more optimistic IoT margin forecasts [7] - Xiaomi is positioned as a top BUY with a target price of HK$75.25, based on a sum-of-the-parts valuation combining 21x 2026E P/E for traditional business and 4x 2026E P/S for the EV business [7]

Himax Technologies (HIMX) Q1 2025 Earnings Call May 08, 2025 08:00 AM ET Company Participants Karen Tiao - Head - IRJordan Wu - Co-Founder, President and CEO Operator Hello, ladies and gentlemen. Welcome to the Himax Technologies Incorporation First Quarter twenty twenty five Earnings Conference Call. At this time, all participants are in a listen only mode. Later, we will conduct a question and answer session and instructions will follow at that time. As a reminder, this conference call is being recorded. ...

Himax Technologies (HIMX) Q1 2025 Earnings Call May 08, 2025 08:00 AM ET Speaker0 Hello, ladies and gentlemen. Welcome to the Himax Technologies Incorporation First Quarter twenty twenty five Earnings Conference Call. At this time, all participants are in a listen only mode. Later, we will conduct a question and answer session and instructions will follow at that time. As a reminder, this conference call is being recorded. Now I would like to turn the conference over to Ms. Karen Tao, Head of IR and PR at H ...

Himax Technologies (HIMX) Q4 2024 Earnings Call February 13, 2025 08:00 AM ET Company Participants Eric Li - Chief IR and PR OfficerJordan Wu - Co-Founder, President and CEO Conference Call Participants Donnie Teng - Analyst Operator Ladies and gentlemen, welcome to the Himax Technologies Incorporation Fourth Quarter and Full Year twenty twenty four Earnings Conference Call. At this time, all participants are in a listen only mode. Later, we will conduct a question and answer session and instructions will f ...