Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has demonstrated steady growth in operating performance, with a revenue increase of 25.9% year-on-year in 2024, reaching 740 million yuan, and a net profit increase of 25.4%, amounting to 140 million yuan [5] - In Q1 2025, the company achieved a revenue of 200 million yuan, reflecting a year-on-year growth of 33.2%, and a net profit of 40 million yuan, up 4.5% year-on-year [5] - The growth in performance is attributed to the rising demand in downstream sectors such as integrated circuits and casting welding, alongside breakthroughs in domestic substitution of core components like X-ray sources [5] - The company has adjusted its profit forecasts for 2025-2026 and added a forecast for 2027, expecting net profits of 182 million yuan, 238 million yuan, and 313 million yuan for 2025, 2026, and 2027 respectively, with corresponding EPS of 1.59 yuan, 2.07 yuan, and 2.73 yuan [5] Financial Performance Summary - In 2024, the company generated revenues of 739 million yuan, with a year-on-year growth of 25.9% and a net profit of 143 million yuan, reflecting a growth of 25.4% [6] - The revenue from integrated circuits and electronic manufacturing reached 332 million yuan, growing by 40.75%, while the revenue from other sectors also showed positive growth [6] - The company has achieved significant milestones in the production of X-ray sources, with the 90kV-150kV micro-focus X-ray source entering mass production and new models being industrialized [6] - The financial projections indicate a steady increase in revenue and net profit, with a projected revenue of 980 million yuan in 2025, 1.246 billion yuan in 2026, and 1.596 billion yuan in 2027 [10] Industry Outlook - The industrial X-ray industry is expected to experience structural growth opportunities due to the increasing demand for precision testing in sectors like integrated circuits and automotive components, as well as the ongoing domestic substitution [7] - The company is well-positioned to leverage its full industry chain layout and technological innovation advantages to capture more market share through capital operations and acquisitions [7]

Core Insights - Qianhe Capital recently conducted research on a listed company, Nichiren Technology, revealing strong growth in revenue and net profit for 2024 and Q1 2025 [1] Financial Performance - In 2024, Nichiren Technology is projected to achieve revenue of 739 million, a year-on-year increase of 25.89%, and a net profit of 143 million, up 25.44% [1] - For Q1 2025, revenue is expected to reach 200 million, reflecting a year-on-year growth of 33.19%, while net profit is anticipated to be 35.33 million, a growth of 4.45% [1] - The slower growth in net profit compared to revenue is attributed to increased share-based payment expenses and enhanced market expansion efforts [1] Market Demand and Orders - The company has a robust order backlog, with new orders experiencing rapid growth, primarily driven by the recovery in demand from the electronic semiconductor and lithium battery industries, as well as increased demand for automotive component testing [1] - Nichiren Technology expects to maintain year-on-year revenue growth throughout the year, with a projected revenue growth rate of no less than 60% for 2025, or a non-recurring net profit growth rate of no less than 60% [1] Product Development and Expansion - The company is actively expanding its X-ray source product line and developing multi-mode CT intelligent detection equipment [1] - Nichiren Technology has established Nichiren Technology Research Institute and Shanghai Ruitai subsidiary, while its subsidiary Nichiren Vision is entering the foreign object detection market [1] International Market Strategy - The company is intensifying its efforts in overseas markets, having established subsidiaries or factories in Singapore, Malaysia, Hungary, and the United States, with overseas sales revenue in 2024 expected to reach 59.16 million, a year-on-year increase of 20.18% [1] - The impact of international tariff changes on the company is limited and manageable, with its global layout mitigating tariff fluctuations [1] M&A Strategy - Nichiren Technology is actively seeking acquisition targets, aiming to achieve phased results by investing in companies that synergize with its X-ray detection technology [1]