Core Viewpoint - The company reported strong financial performance in Q1 2025, with significant year-on-year growth in revenue and net profit, driven by increasing demand for laser technology across various industries [1][3]. Financial Performance - In Q1 2025, the company achieved revenue of 343 million yuan, representing a year-on-year increase of 34.07% but a quarter-on-quarter decrease of 10.69% [1]. - The net profit attributable to shareholders was 36 million yuan, up 37.11% year-on-year and up 22.61% quarter-on-quarter [1]. - The non-recurring net profit was 33 million yuan, reflecting a year-on-year increase of 34.19% and a significant quarter-on-quarter increase of 140.71% [1]. - The gross margin stood at 37.49%, showing a year-on-year decrease of 3.22 percentage points but an increase of 6.80 percentage points quarter-on-quarter [1]. - Operating cash flow reached 225 million yuan, marking a substantial year-on-year increase of 657% [1]. - New orders received in Q1 totaled 585 million yuan, a year-on-year increase of 89.38% [1]. Business Development - The company plans to continue delivering 500W MOPA pulsed laser products in 2025 and is optimizing higher power laser products to reduce costs for customers [2]. - In the passive components sector, the company will develop second-generation laser tuning machines and improve capacitor testing and sorting machines [2]. - The company aims to track the development of perovskite solar cells and fulfill orders from 2024 while acquiring new ones in 2025 [2]. - For laser micro-nano processing, the company will provide customized laser processing solutions based on the latest customer demands [2]. - The company has sent PCB drilling products for trial use at well-known industry enterprises, with plans to advance technology and domestic substitution in this field [2]. - The company will optimize VCSEL module testing equipment to enhance detection efficiency for mobile camera module orders received in the second half of 2024 [2]. Investment Outlook - The company’s performance exceeded expectations, with multiple business segments expected to continue breakthroughs in 2025, particularly in optical module testing [3]. - Projected net profits for 2025-2027 are estimated at 202 million, 260 million, and 311 million yuan, with corresponding EPS of 2.12, 2.74, and 3.27 yuan, leading to PE ratios of 22.95, 17.81, and 14.89 times respectively [3].