ASR(SH:688220)2024-09-13 07:41Group 1: Financial Performance and Projections - The company reported a stable gross margin, with ongoing pressure on profitability due to competitive market conditions, particularly in the cellular IoT and smartphone sectors [1] - Revenue from chip sales is expected to be optimistic for Q3 2024, but overall revenue may show a seasonal decline due to project delivery timelines affecting income recognition [2] - The company anticipates that R&D personnel and expenses will remain manageable over the next three years, despite a high number of ongoing projects [2] Group 2: R&D and Product Development - As of June 2024, the company has 1,137 R&D personnel, with over 70% holding master's or doctoral degrees, ensuring high technical capability [2] - In the first half of 2024, the company invested approximately CNY 595 million in R&D across 17 projects, with 14 ongoing projects including 5G smartphone SOC chips [3] - The first 4G smartphone chip has successfully shipped to the Latin American market, with expectations to reach a shipment volume of one million units by year-end [3] Group 3: Market Strategy and Sales - The company is focusing on expanding its market share in the cellular IoT sector while accelerating entry into the smartphone market [1] - Sales expenses for the first half of 2024 were CNY 15.39 million, accounting for 0.9% of revenue, with potential increases expected as new products are promoted [4] - The company plans to launch a new generation of 8-core 4G smartphone chips by the end of 2024 and aims to introduce 5G smart terminal chips by 2025 [4]