Group 1 - The company achieved new orders of 585 million yuan in Q1 2025, representing a year-on-year growth of 89.38%, driven by the increasing demand for domestic substitution of laser applications across various industries and strong growth in consumer-grade applications [3] - Revenue for Q1 2025 reached 343 million yuan, up 34.07% year-on-year, while net profit attributable to shareholders was 36 million yuan, reflecting a 37.11% increase year-on-year [3] Group 2 - The company has rapidly increased its revenue from optical module testing, with a robust order reserve, particularly in XR-related testing equipment, and has secured multiple exclusive supply projects [4] - The company is experiencing rapid growth in orders and revenue related to mobile camera testing equipment, benefiting from clients' swift deployment of production lines in China [4] Group 3 - In the new energy sector, the company successfully delivered large quantities of 500W MOPA pulsed laser products, which have improved processing efficiency compared to previous 350W products [5] - The company has developed a real-time monitoring system for laser welding processes, which has received orders from leading industry clients and has been successfully delivered [5] - In the photovoltaic perovskite sector, the company's laser die-cutting equipment is being used in clients' production lines, with ongoing orders being fulfilled [5] Group 4 - The passive components industry is showing signs of recovery, and the company plans to continue investing in R&D in this area, expanding into multiple product categories [7] - The company's laser trimming machine has gained market recognition, and the second-generation model is expected to enhance trimming efficiency and precision [7] - The company is also improving its capacitor testing and sorting machine, which has been delivered for trial use in Q1 2025 [7]

Investment Rating - The investment rating for the company is "Buy-A" with a target price of 56.78 CNY per share [6][10]. Core Views - The company achieved a revenue of 1.454 billion CNY in 2024, representing a year-on-year increase of 18.62%, and a net profit of 133 million CNY, up 23.53% year-on-year [2][3]. - In Q1 2025, the company reported a revenue of 343 million CNY, a 34.07% increase year-on-year, and a net profit of 36 million CNY, up 37.11% year-on-year [2][3]. - The growth in revenue is attributed to increased sales of optical detection equipment related to mobile camera modules, laser processing systems for power batteries, and recognition of precision processing equipment in consumer electronics [3][4]. - The company is expected to continue its growth trajectory with projected revenues of 1.814 billion CNY, 2.159 billion CNY, and 2.559 billion CNY for 2025, 2026, and 2027 respectively [10][12]. Summary by Sections Financial Performance - The company’s overall gross margin for 2024 was 37.69%, a decrease of 3.42 percentage points year-on-year, while the net profit margin was 8.53%, an increase of 0.03 percentage points [3][12]. - The company’s operating expenses as a percentage of revenue have improved, with sales, management, and R&D expense ratios at 7.77%, 8.44%, and 11.53% respectively, showing slight decreases year-on-year [3][12]. Business Segments - The laser segment includes the development of a 500W high-power MOPA pulsed fiber laser for the power battery industry, enhancing efficiency in electrode cutting and cleaning processes [4]. - The detection segment has seen growth due to the rapid expansion of production lines for mobile camera modules, with several projects being exclusive supply contracts [4]. - The company has also made strides in the photovoltaic sector with its perovskite laser cutting equipment, which is now being utilized in large-scale production lines [4]. Future Outlook - The company is positioned as a leader in the domestic laser industry, particularly in the context of domestic substitution in the new energy lithium battery sector, which is expected to drive future growth [10][12]. - The projected earnings per share (EPS) for 2025 is estimated at 2.18 CNY, with a price-to-earnings (PE) ratio of 26 times [10][12].