Core Insights - The company reported a revenue of 1.372 billion yuan for Q1-Q3 2025, representing a year-over-year increase of 74.72%, with a net profit of 116 million yuan, up 46.06% year-over-year [1] - In Q3 2025, the company achieved a revenue of 532 million yuan, reflecting a year-over-year growth of 74.86% and a quarter-over-quarter increase of 1.76%, with a net profit of 61 million yuan, up 91.54% year-over-year and 42.08% quarter-over-quarter [1] - The company's gross margin and net margin for Q1-Q3 2025 were 26.17% and 10.39%, respectively, while for Q3 2025, they were 30.84% and 13.47% [1] Revenue Growth Drivers - The company's performance is driven by increased demand for smart system modules, which has led to a rise in detection needs, alongside the expansion of product offerings from single-station equipment to multi-station connected devices and large line equipment [1] - The automotive business continues to grow, supported by increased shipments of servers and communication base stations from key clients, boosting demand for the company's heat sink products [1] - The mobile terminal business benefits from technology-driven replacement demand, particularly in AI, foldable screens, and battery life, as well as ongoing expansion in industrial automation equipment and components targeting the Apple supply chain [1] - The company has also seen continuous shipments in the VR/AR/XR product segment, contributing to record high performance in Q3 2025 [1] Profitability Improvement - Since Q1 2025, the company's gross and net margins have been recovering, primarily due to the transition from a sampling verification phase to increased mass production orders [2] - The rise in orders for high-margin ultra-precision fixtures and components has further accelerated the improvement in profitability [2] - Revenue forecasts for 2025 and 2026 are projected at 1.950 billion yuan and 2.552 billion yuan, respectively, with net profits of 196 million yuan and 297 million yuan, corresponding to PE ratios of 51 and 34 times [2]

Investment Rating - The report maintains a "Hold" rating for the company [2] Core Views - The company achieved record high performance in Q3 2025, with revenue reaching 1.372 billion yuan, a year-on-year increase of 74.72%, and a net profit of 116 million yuan, up 46.06% year-on-year [1] - The company's revenue for Q3 2025 was 532 million yuan, reflecting a year-on-year growth of 74.86% and a quarter-on-quarter increase of 1.76%, with a net profit of 61 million yuan, up 91.54% year-on-year and 42.08% quarter-on-quarter [1] - The company is benefiting from increased demand for detection driven by the rise in smart system module installations, and its automotive business continues to grow [2] - The company is expected to achieve a revenue of 1.950 billion yuan in 2025, representing a year-on-year increase of 73.10% [2] - The company's profitability is improving, with gross and net profit margins recovering since Q1 2025 due to an increase in mass production orders [2] Financial Data and Valuation - Revenue projections for 2025 and 2026 are 1.950 billion yuan and 2.552 billion yuan, respectively, with corresponding net profits of 196 million yuan and 297 million yuan [3] - The company’s earnings per share (EPS) are projected to be 1.89 yuan for 2025 and 2.87 yuan for 2026, with price-to-earnings (P/E) ratios of 51 and 34, respectively [3] - The company’s gross profit margin is expected to be 26.17% and net profit margin 10.39% for the first three quarters of 2025 [1]