SCC(002916)2025-03-19 11:48Group 1: PCB Business Performance - In 2024, PCB business achieved a revenue of 10.494 billion CNY, a year-on-year increase of 29.99%, with a gross margin of 31.62%, up by 5.07 percentage points [1] - Growth in PCB revenue is primarily driven by demand in the communication sector, particularly for 400G AI-related products, data center servers, and automotive electronics [1] - The company has implemented operational management improvements to enhance cost competitiveness, including optimizing raw material usage and energy management [1] Group 2: Packaging Substrate Business Performance - In 2024, the packaging substrate business generated a revenue of 3.171 billion CNY, a year-on-year increase of 37.49%, with a gross margin of 18.15%, down by 5.72 percentage points [2] - The decline in gross margin is attributed to rising raw material costs and fluctuations in market demand for BT substrates [2] Group 3: Product Development and Capacity Expansion - The company has achieved mass production capabilities for FC-BGA substrates with up to 16 layers and is progressing with sample production for 18 and 20-layer products [3] - The Guangzhou packaging substrate project is in the early stages of capacity ramp-up, focusing on building production capabilities while managing associated costs [4] - PCB business is expanding its production capacity through technological upgrades and new projects in Shenzhen, Wuxi, Nantong, and Thailand [8] Group 4: Market Applications and Trends - The PCB business focuses on high-end products for communication devices, with significant applications in data centers and automotive electronics, particularly in the new energy and ADAS sectors [5][6] - The automotive electronics segment is a key area of expansion, targeting both domestic and international Tier 1 customers [6] - Recent demand in the storage sector has led to a slight increase in capacity utilization for the packaging substrate business [7]