台湾印制电路板与覆铜板 - 2025 年第二季度业绩与 Tripod 结果，高端 PCB 短缺趋势才刚开始-Taiwan PCB & Laminates_ 2Q25 GCE and Tripod results_ Trend just begin on high-end PCB shortage

Summary of Conference Call Records Industry Overview - Industry: PCB (Printed Circuit Board) and Laminates - Key Players: Gold Circuit Electronics (GCE), Tripod Technology Core Insights and Arguments 1. High-End PCB Shortage: The high-end PCB market is expected to face a shortage due to increasing demand from AI applications and inefficient capacity ramp-up in Southeast Asia. US customers are actively securing high-end PCB capacity and qualifying new suppliers [1][2] 2. GCE's Stable Position: GCE is positioned firmly as a tier-1 supplier, while tier-2 Tripod is anticipated to benefit from outflow orders [1] 3. Tripod's 2Q25 Performance: Tripod reported a 5% QoQ sales growth in 2Q25, with a gross margin (GM) increase of 1.2 percentage points to a record 26.2%. This was attributed to a better product mix and rising unit transaction rates (UTR) [1][21] 4. GCE's 2Q25 Results: GCE's sales rose 15% QoQ, but GM declined by 1.7 percentage points due to FX headwinds. Overall earnings were 15% lower than forecasted due to significant FX losses [9][15] 5. Future Growth Expectations: Tripod is expected to continue its growth trajectory in 3Q25, with projected sales growth of 6% QoQ despite a 5% negative impact from FX headwinds [1][22] Financial Performance - Tripod's Financials: - 2Q25 revenue: NT$17.9 billion, up 5% QoQ - Gross profit: NT$4.7 billion, GM of 26.2% - Operating profit: NT$3.2 billion, OP margin of 18.0% [21] - GCE's Financials: - 2Q25 revenue: NT$13.9 billion, up 15% QoQ - Gross profit: NT$4.1 billion, GM of 29.6% - Net income: NT$1.7 billion, EPS of NT$3.34 [15][19] Earnings Revisions 1. Tripod: Earnings estimates for 2025, 2026, and 2027 have been revised upwards by 5%, 11%, and 10% respectively, reflecting a stronger GM profile. Target price raised to NT$370 from NT$300 [11] 2. GCE: 2025 earnings estimates slightly cut by 3% due to FX losses, but 2026 and 2027 estimates raised by 20% and 26% respectively due to stronger AI ASIC momentum [11] Market Positioning - Valuation Comparison: Tripod's PE has historically traded at a 23% discount to GCE's PE, with a current target price implying a fair valuation at 16x [11][14] - Future Potential: If Tripod secures mainboard contracts, further re-rating to 20x PE is possible [11] Additional Insights - Capacity Utilization: Tripod has unfulfilled capacity in Wuxi targeting high-end server and networking products, indicating potential for further market penetration [2] - Sales Trends: GCE's July sales showed a significant uptick of 22% MoM and 60% YoY, driven by AI ASIC demand [10] This summary encapsulates the key points from the conference call records, highlighting the performance and outlook of the PCB industry, particularly focusing on GCE and Tripod.