Core Viewpoint - The company reported strong financial performance in the first half of 2025, with significant growth in revenue and net profit, driven by software and equipment business recovery [1][2]. Financial Performance - In 1H25, the company achieved revenue of 246 million, a year-on-year increase of 43% - The net profit attributable to shareholders was 16 million, up 518% year-on-year - The non-recurring net profit was a loss of 1 million, narrowing the loss by 70% year-on-year - In Q2 2025, revenue reached 179 million, a year-on-year increase of 404% - The net profit attributable to shareholders for Q2 was 29 million, a 16% increase year-on-year - The non-recurring net profit for Q2 was 21 million, remaining flat year-on-year [1]. Business Development Trends - The software business saw a revenue of 91 million in 1H25, growing by 50% year-on-year - The equipment business generated revenue of 153 million, a 38% year-on-year increase, continuing the recovery trend since Q4 2024 - The company anticipates a 20% growth in equipment business for the full year, supported by strong demand for yield-related projects and successful sales of new software products - The gross margin declined, primarily due to a 15% drop in the gross margin of software development and licensing, attributed to high demand and increased outsourcing during the delivery of new projects [2]. Strategic Acquisition - The company announced the acquisition of LUCEDA, a leader in silicon photonics design software, on August 12 - LUCEDA's business includes complete software for silicon photonic chip design and PDK development, which aligns with the growing global market for silicon photonics modules - The acquisition is expected to enhance the company's capabilities in the silicon photonics sector, allowing it to replicate its semiconductor manufacturing solutions in this new area - LUCEDA's projected revenue for 2024 and 2025 is 38 million and 42 million, respectively, with net profit expected to be break-even [3]. Profit Forecast and Valuation - Following the acquisition of LUCEDA, the company has adjusted its revenue forecasts for 2025 and 2026 upwards by 3% and 5% to 703 million and 886 million, respectively - The net profit forecasts for 2025 and 2026 have been increased by 4% and 6% to 138 million and 198 million, respectively - The company maintains an outperform rating, with a target price raised by 55% to 97, indicating a 16% upside potential from the current stock price [4].

Core Viewpoint - The acquisition of LUCEDA by Guangliwei marks a strategic move into the silicon photonics design automation sector, aiming to enhance competitiveness in the global semiconductor industry amidst the rapid growth of AI computing power and silicon photonics technology [2][6][8]. Group 1: Acquisition Details - Guangliwei completed the acquisition of LUCEDA for a total price of €40 million (approximately RMB 340 million), with adjustments based on LUCEDA's net liabilities and working capital at the time of closing [3]. - LUCEDA, established in 2014, specializes in silicon photonics chip design software and related services, and will operate as a wholly-owned subsidiary of Guangliwei post-acquisition [3][4]. - The acquisition process began in July 2024 and was kept confidential until completion due to potential risks associated with government approvals and market reactions [3]. Group 2: Financial Performance - In the fiscal year 2024, LUCEDA reported revenues of €3.81 million and a net profit of €563,700, while in 2025, revenues are expected to rise to €4.2 million but with a projected net loss of €117,700 [4]. - Guangliwei's revenue for 2024 was RMB 547 million, a year-on-year increase of 14.5%, but the net profit decreased by 37.68% to RMB 80.27 million due to slowed revenue growth and increased R&D expenditures [5]. Group 3: Market Context and Strategic Importance - The silicon photonics market is projected to grow significantly, with a market size of approximately $1.4 billion in 2023, expected to reach $10.3 billion by 2029, reflecting a compound annual growth rate of 45% [7]. - The acquisition is seen as a strategic move to optimize Guangliwei's existing industrial layout and to develop comprehensive solutions in silicon photonics design, testing, and yield improvement [6][8]. Group 4: Collaborative Synergies - Post-acquisition, Guangliwei and LUCEDA plan to collaborate on enhancing the silicon photonics design automation toolchain, including the development of a unified design and simulation platform [10]. - The partnership aims to leverage Guangliwei's expertise in semiconductor manufacturing EDA tools and LUCEDA's advanced technologies to innovate in silicon photonics testing and yield enhancement solutions [10]. - LUCEDA's CEO indicated that the collaboration would provide necessary resources for innovation and aim for an annual growth rate exceeding 25% in the photon chip market [11].

Core Viewpoint - The acquisition of LUCEDA by Guangliwei marks a strategic move into the silicon photonics design automation sector, aiming to enhance competitiveness in the global semiconductor industry amid the rapid growth of AI computing power and silicon photonics technology [1][5][7]. Group 1: Acquisition Details - Guangliwei completed the acquisition of LUCEDA, a Belgian silicon photonics design automation company, through its wholly-owned subsidiary in Singapore [1][2]. - The acquisition price consists of two parts: a competitive bid value of €40 million (approximately RMB 340 million) and an adjustment based on LUCEDA's net liabilities and working capital at the closing date [2]. - LUCEDA's total assets as of June 30 were €3.8852 million, with total liabilities of €2.6549 million and equity of €1.2303 million [2]. Group 2: Financial Performance - In the 2024 fiscal year, LUCEDA reported revenues of €3.8092 million and a net profit of €0.5637 million, while in 2025, revenues increased to €4.1969 million but incurred a net loss of €0.1177 million [3]. - Guangliwei's revenue for 2024 was RMB 547 million, a year-on-year increase of 14.5%, but the net profit attributable to shareholders decreased by 37.68% to RMB 80.2685 million [3]. - In Q1 of the current year, Guangliwei achieved revenue of RMB 66.4849 million, a year-on-year growth of 51.43%, but reported a net loss of RMB 13.715 million [4]. Group 3: Market Context and Strategy - The silicon photonics industry is viewed as a high-growth sector, driven by advancements in high-performance computing and communication technologies [5][6]. - The global market for silicon photonics modules was approximately $1.4 billion in 2023, projected to grow to $10.3 billion by 2029, with a compound annual growth rate of 45% [6]. - The acquisition aims to optimize Guangliwei's existing industrial layout and enhance its capabilities in silicon photonics design, testing, and yield improvement [5][7]. Group 4: Collaborative Synergies - Post-acquisition, Guangliwei and LUCEDA plan to collaborate on multiple fronts, including the development of a comprehensive silicon photonics design automation toolchain and enhancing design efficiency through AI and machine learning [8][9]. - The partnership aims to improve manufacturing yield solutions by leveraging Guangliwei's expertise in semiconductor manufacturing EDA tools alongside LUCEDA's advanced silicon photonics design technologies [8][9]. - LUCEDA's CEO indicated that the collaboration would provide necessary investment and resources to accelerate innovation and expand market presence, targeting an annual growth rate significantly above 25% [9].

Core Viewpoint - Guangli Micro (301095.SZ) announced the acquisition of 100% equity in LUCEDA NV through its wholly-owned subsidiary Guangli Microelectronics (Singapore) Pte Ltd, which will enhance its competitive position in the silicon photonics industry [1] Group 1: Acquisition Details - The acquisition will be funded by the company's own capital [1] - LUCEDA's main business includes silicon photonics chip design software, PDK development, design process optimization, and professional training services [1] - Post-acquisition, LUCEDA will be included in the company's consolidated financial statements [1] Group 2: Strategic Implications - The acquisition is expected to support the company's development of systematic solutions in silicon photonics design, testing, and yield improvement [1] - It will broaden the company's overseas sales channels [1] - The move is aimed at further strengthening the company's industry competitiveness and market position [1]