SCC(SZ:002916)2024-06-19 13:58Business Overview - The company's PCB business focuses on high-end PCB product design, R&D, and manufacturing, with core applications in communication equipment, data centers, and automotive electronics [2] - The company is the largest domestic substrate supplier, with full coverage of WB and FC packaging forms in BT substrates, and leading sample capabilities in FC-CSP and RF substrates [4] Financial Performance - In Q1 2024, PCB business demand in the data center sector continued to grow quarter-over-quarter, driven by platform product ramp-up and AI accelerator card demand [2] - Substrate business demand in Q1 2024 maintained the trend from Q4 2023, with stable mass production of BT substrates and ongoing verification and certification for FC-BGA products [3] Market Trends - AI development is driving increased demand for high-frequency, high-speed, integrated, miniaturized, and high-heat-dissipation PCB products in ICT industry [3] - The automotive electronics sector focuses on new energy and ADAS, with ADAS products accounting for a relatively high proportion, mainly used in cameras and radar [3] Production Capabilities - The company has multiple PCB factories in Shenzhen, Wuxi, and Nantong, with production arrangements based on process requirements rather than specific downstream sectors [3] - The company possesses HDI process capabilities including Any Layer, mainly applied in communication, data center, industrial control, medical, and automotive electronics fields [3] International Expansion - The company is investing 1.274 billion RMB in a Thailand factory project, with 289 million THB allocated for purchasing 70 rai of land in the Logana Industrial Park [5] - The Thailand project has obtained necessary approvals and certificates from Chinese authorities and is preparing for construction [5] Raw Materials - Main raw materials include copper clad laminates, prepregs, copper foil, gold salts, and inks, with prices remaining relatively stable from 2023 to Q1 2024 [4] - Recent increases in precious metal prices and some board materials have been observed due to commodity price fluctuations, but no direct impact on operations yet [4]