Core Viewpoint - The PCB industry is expected to maintain a growth trend in the medium to long term, driven by the recovery of end consumption and the expansion of downstream markets [2] Group 1: Company Strategy - The company plans to expand production scale and enhance technological innovation, production, and management service capabilities [2] - There is a focus on increasing product diversity and innovation based on existing product lines, including single/double-sided boards, multilayer boards, high-frequency boards, high-speed boards, HDI boards, and rigid-flex boards [2] - The company aims to strengthen its PCB process capabilities and enhance industrial automation, particularly in emerging sectors such as 5G communication, new energy vehicles, semiconductors, and the digital economy [2] Group 2: Market Adaptation - The company intends to meet and support the specialized PCB needs of downstream customers during research, development, testing, and small batch stages [2] - Continuous adjustments to the PCB product structure and optimization of capacity allocation are planned, with a targeted shift towards high value-added products [2]

Core Viewpoint - On October 29, 2025, the company released its Q3 2025 financial report [1] Financial Performance Summary - For the first three quarters of 2025, the company achieved revenue of 1.355 billion yuan (YoY +29.80%), with a net profit attributable to shareholders of 28 million yuan (YoY -10.64%) and a net profit excluding non-recurring items of 25 million yuan (YoY -0.81%) [2] - In Q3 2025, the company reported revenue of 506 million yuan (YoY +33.22%, QoQ +7.11%), with a net profit attributable to shareholders of 11 million yuan (YoY +94.58%, QoQ +62.73%) and a net profit excluding non-recurring items of 12 million yuan (YoY +83.29%, QoQ +508.10%) [2] Operational Situation and Future Growth Points - The company's factory in Thailand is ramping up production, with Delta and other clients expected to start placing bulk orders in Q4. The factory, located in the Rayong Industrial Zone, produces various types of printed circuit boards and components for applications in 5G communications, new energy vehicles, and data centers. The project is in bulk production as of Q3 2025 and has passed audits from multiple overseas clients [3] - The company is strategically developing secondary and tertiary power supplies for data centers, with bulk orders from overseas clients already initiated. This area is a key focus for the company, which has invested significant resources in advance [3] Investment Recommendation - The company is expected to benefit from the continued growth in the PCB industry and rapid capacity expansion, which will enhance market share. The forward-looking layout in embedded components and tertiary power supplies is anticipated to further open up growth opportunities. The projected net profits attributable to shareholders for 2025-2027 are 58 million, 128 million, and 229 million yuan, respectively, with corresponding EPS of 0.30, 0.67, and 1.19 yuan. As of October 31, the closing price corresponds to PE ratios of 184.73, 83.12, and 46.69 for 2025-2027 [4]

Investment Rating - The report assigns a "Buy" rating for the company, predicting that the stock price will outperform the Shanghai Composite Index by 15% or more within the next six months [30]. Core Insights - The company, ChaoYing Electronics, is a leading enterprise in the PCB industry, specializing in the research, development, and production of printed circuit boards (PCBs) with a strong focus on automotive electronics [1][3]. - The PCB market in China is rapidly growing, with the country becoming the world's largest PCB manufacturing base, accounting for 55.74% of the global PCB output by 2024 [2][12]. - The company has established stable partnerships with well-known domestic and international clients, including major players in the automotive and electronics sectors, which supports its growth trajectory [3][25]. Industry Overview - The global PCB market is experiencing a shift towards Asia, particularly China, which has seen its PCB output value increase significantly, surpassing Japan in 2006 [9][13]. - The global PCB market was valued at $81.74 billion in 2022, with a projected compound annual growth rate (CAGR) of 5.5% from 2024 to 2028 [8][10]. - China's PCB industry is expected to maintain a CAGR of 4.0% from 2024 to 2028, reaching a total output value of $47.9 billion by 2028 [12][10]. Company Overview - ChaoYing Electronics has achieved significant revenue growth, with projected revenues of 3.514 billion yuan in 2022, 3.656 billion yuan in 2023, and 4.124 billion yuan in 2024, reflecting year-on-year growth rates of -7.12%, 4.04%, and 12.78% respectively [1][19]. - The company has a diverse product portfolio, including HDI boards, thick copper boards, metal substrates, high-frequency boards, and high-speed boards, catering to various sectors such as automotive electronics, display technology, and storage [16][18]. - The company has received numerous awards and recognitions, including being ranked among the top ten automotive electronics PCB suppliers globally and the top five in China [3][26].

Group 1 - The company guarantees the authenticity, accuracy, and completeness of the information disclosed in its quarterly report, with no false records or misleading statements [10][12] - The board of directors and senior management confirm the financial information in the quarterly report is true, accurate, and complete, and they bear legal responsibility [2][3] - The third-quarter financial report has not been audited [9][10] Group 2 - The company is in the process of establishing a factory in Thailand, which is expected to start production in January 2025, with the project currently in mass production and passing audits from multiple overseas clients [5][6] - The company is focusing on secondary and tertiary power supply for AI data centers, with projects already receiving bulk orders [5][6] Group 3 - The company held its 22nd meeting of the second board of directors on October 27, 2025, where it approved the third-quarter report and discussed the upcoming board election [13][14] - The company plans to hold its second extraordinary general meeting of 2025 on November 14, 2025, to elect the new board members [70][71]

Core Viewpoint - The company XunJieXing (688655.SH) reported a revenue of 292 million yuan for the first half of the year, a year-on-year increase of 27.66%, but faced a net loss of 2.76 million yuan, contrasting sharply with a profit of 3.98 million yuan in the same period last year, marking it as a notable "laggard" in the booming PCB industry [2][3]. Group 1: Company Performance - XunJieXing's main business is the research, production, and sales of printed circuit boards (PCBs), focusing on small-batch, customized demands rather than large-volume orders [3][4]. - Despite the overall PCB market experiencing significant growth, XunJieXing's unique business model has limited its ability to capture market share, as small-batch and sample boards account for only 15%-20% of the industry [4][5]. - The company’s net loss was primarily attributed to the initial phase of new capacity release from its subsidiary, resulting in a loss of 11.54 million yuan [4]. Group 2: Industry Context - The PCB industry is projected to grow by 6.8% year-on-year in 2023, with the AI/HPC server PCB segment expected to see a compound annual growth rate (CAGR) of 32.5% from 2023 to 2028 [3]. - Competitors such as Shenghong Technology and Pengding Holdings reported significant revenue and profit increases, highlighting XunJieXing's underperformance in comparison [3]. Group 3: Strategic Initiatives - XunJieXing has initiated a three-pronged strategy of expansion, acquisition, and incentive programs to address its challenges [6][8]. - The company is expanding its production capacity with a new smart factory project set to produce 600,000 square meters of PCBs, which is expected to be operational by the end of 2023 [6][7]. - An acquisition of Shenzhen Jiazhihong Electronics Co., which specializes in flexible circuit boards, is planned, potentially doubling XunJieXing's revenue if successful [7][8]. - A stock incentive plan has been introduced to bind the core team to revenue and profit growth targets, aiming for a revenue increase of at least 30% by 2025 [8].