JHCC(SZ:002484)2025-09-03 01:22Summary of Nantong Jianghai Capacitor Co. (002484.SZ) Earnings Call Company Overview - Company: Nantong Jianghai Capacitor Co. (002484.SZ) - Industry: Industrial Technology & Machinery - Market Cap: Rmb31.2 billion / $4.4 billion - Enterprise Value: Rmb30.4 billion / $4.3 billion - Current Price: Rmb36.64 - 12-Month Price Target: Rmb28.50, indicating a downside of 22% [1][3][29] Financial Performance - 2Q25 Results: - Revenue: Rmb1,536 million (+17% YoY) - Gross Profit: Rmb390 million (+14% YoY) - EBIT: Rmb225 million (+11% YoY) - Net Profit: Rmb206 million (-2% YoY) - Gross Margin: 25%, Operating Margin: 15%, Net Margin: 13% [1][14] - Revised Financial Projections: - 2025-30E EPS revised up by 4-41% - 2026E target multiple revised from 15x to 25x - New EPS CAGR projected at 19% for 2025-30E [1][29] Key Developments - EDLC Order from Meta: - Confirmed receipt of an Electric Double Layer Capacitor (EDLC) order from Meta, expected to contribute approximately Rmb300 million in revenue in 2026, with a market share of around 30% [1][16]. - Jianghai's supercapacitor performance, particularly in Equivalent Series Resistance (ESR), lags behind German competitor Skeleton [1][16]. - Market Share and Revenue Projections: - Expected revenue from EDLC could range from Rmb285 million to Rmb495 million in 2026-30E [16]. - Projected market share for Jianghai in Lithium-ion Capacitors (LIC) is only 1%-10%, with expected revenue of Rmb62 million to Rmb825 million [17]. Product Insights - Supercapacitor Applications: - Supercapacitors serve critical functions in data centers, providing emergency power and stabilizing power loads in high-performance computing environments [14][16]. - Two types of supercapacitors discussed: EDLC (lower energy density, easier thermal management) and LIC (higher energy density, longer backup duration) [16]. - Revenue Contribution from Capacitors: - Aluminum electrolytic capacitors and supercapacitors are expected to contribute 6-8% and 5-11% of firmwide revenue respectively by 2026-30E [29][19]. Risks and Considerations - Market Uncertainties: - Despite bullish outlooks for new revenue drivers, uncertainties remain regarding market share sustainability and competitive product quality [1][29]. - Risks include fluctuations in market share for supercapacitors and variations in demand for EDLC/LIC per rack [38]. Conclusion - Rating: Neutral - Investment Thesis: Jianghai is a leading supplier in aluminum electrolytic capacitors, expanding into supercapacitor products. The company has a strong industrial client base and vertical integration advantages, but faces challenges in maintaining market share against global competitors [36][29].