Investment Rating - The investment rating for Sunny Optical is Equal-weight [6] Core Insights - Vehicle-related businesses are identified as the key growth driver, while smartphone-related businesses are focusing on margin improvement [1] - Vehicle lens demand is projected to increase from 317 million units in 2024 to 552 million units by 2030, representing a 10% CAGR [1] - Smart lamp shipments are expected to achieve a 55% CAGR from 2025 to 2030, while AR-HUD shipments are anticipated to grow at a 38% CAGR from 2023 to 2030 [2] - LiDAR shipments are also projected to reach a CAGR of 55% from 2023 to 2030 [2] - The smartphone camera module market size is expected to grow from RMB 240 billion in 2024 to RMB 293 billion in 2028, driven by high-end products [2] - The margin recovery for smartphone business lines is likely to continue due to new product innovations and vertical integration [3] - The company is actively investing in R&D to gain a competitive edge in XR and robotic businesses [4] Summary by Sections Vehicle Lens Market - The global vehicle lens market is expected to grow significantly, with demand projected to rise from 317 million units in 2024 to 552 million units by 2030, indicating a 10% CAGR [1][9] Smart Lamp and AR-HUD - Smart lamp shipments are forecasted to grow at a 55% CAGR from 2025 to 2030, while AR-HUD shipments are expected to achieve a 38% CAGR from 2023 to 2030 [2] Smartphone Camera Module - The smartphone camera module market is projected to expand from RMB 240 billion in 2024 to RMB 293 billion in 2028, supported by growth in high-end products [2] Margin Recovery - The recovery of margins in smartphone business lines is anticipated to continue, driven by innovations and vertical integration [3] R&D Investments - The company is making proactive R&D investments to establish a competitive advantage in XR and robotic sectors [4]