Core Insights - AAC Technologies reported a strong half-year performance, exceeding market expectations with a revenue of 13.32 billion yuan, a year-on-year increase of 18.4%, and a net profit of 876 million yuan, up over 60% [1][2] - The company's net profit margin improved from 4.8% in the same period last year to 6.6%, indicating a clear trend of profit recovery [1] Revenue Breakdown - The optical business continued its high growth trajectory, generating revenue of 2.65 billion yuan, a nearly 20% year-on-year increase, with a gross margin improvement to 10.2% [1] - Precision structural components and electromagnetic drive businesses also performed well, with revenue growth exceeding 27%, driven by new products like ultra-thin motors and liquid cooling heat sinks [1] - The sensor and semiconductor business saw a significant revenue increase of 56% year-on-year, driven by AI interaction demand, with high signal-to-noise ratio microphones achieving scale production [1] - The automotive acoustics segment maintained its expansion, generating revenue of 1.74 billion yuan, a 14% year-on-year increase, further enhanced by the acquisition of Hebei Chuguang for smart microphones and sensors [1] Traditional Business Performance - Traditional acoustic business remains a core segment, with revenue of 3.52 billion yuan, a year-on-year increase of 1.8%, supported by mid-to-high-end products and innovative designs [2] Financial Health - The company's financial position remains robust, with operating cash flow of 2.89 billion yuan, a 9% increase year-on-year, and cash on hand of 7.75 billion yuan, resulting in a net debt ratio of only 4.7% [2] - Capital expenditures increased significantly to 1.44 billion yuan, a 57% rise compared to the same period last year, primarily directed towards optical, automotive, and semiconductor sectors [2] Shareholder Returns - The company maintains a year-end dividend policy with a payout ratio of 15%, while not declaring an interim dividend, ensuring strong cash flow and prudent capital management to support future business development [2] Strategic Transition - AAC Technologies is undergoing a critical phase of business structure transformation, with traditional acoustic business growth slowing, while optical, structural components, and sensor businesses are rapidly expanding, creating new growth opportunities [2] - The ongoing trends of smartphone premiumization and automotive intelligence are expected to further enhance the company's profitability in optical lenses, automotive acoustics, and sensors [2]