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].