SCC(SZ:002916)2025-05-13 11:08Business Overview - The company focuses on PCB business expansion in communication equipment, data centers, automotive electronics, and industrial control sectors, with a slight recovery in wireless communication orders compared to Q4 2024 [1] - The packaging substrate business has seen a continuous increase in demand, particularly for storage products, contributing to improved order volume [2] Production Capacity and Utilization - The overall production capacity utilization remains high, with PCB business benefiting from sustained demand in computing and automotive electronics [3] - The packaging substrate business has improved capacity utilization due to enhanced demand in the storage sector compared to Q4 2024 [3] Sales and Market Impact - Direct sales to the U.S. account for a low percentage of total revenue, minimizing the impact of U.S. tariff policies on overall operations [4] - The company is actively monitoring changes in the international trade environment and maintaining communication with industry stakeholders [4] Technology and Product Development - The FC-BGA packaging substrate has achieved mass production capabilities for products with 20 layers or fewer, while R&D for products with more than 20 layers is progressing as scheduled [5] - The company is expanding its PCB business through technological upgrades and new projects in various locations, including Thailand, with a total investment of RMB 1.274 billion [7][8] Strategic Positioning - The electronic assembly business is positioned as a downstream segment of PCB manufacturing, focusing on communication, data centers, medical, and automotive electronics [9] - The company aims to leverage its technology platform to provide integrated solutions and enhance customer loyalty [9] Raw Material Costs - The prices of key raw materials, such as copper foil and gold salt, have increased due to fluctuations in commodity prices, impacting overall costs [10] - The company is committed to monitoring raw material price trends and maintaining proactive communication with suppliers [10] AI and High-Performance Computing - The demand for high-performance PCB products is rising due to the acceleration of AI technology and the need for high-speed networks [11] - The company is focusing on developing PCB products for high-performance applications, including AI accelerators and data center switches [11] Client Base - The packaging substrate business serves a diverse client base, including IDM, Fabless, and OSAT manufacturers, both domestically and internationally [12]