德科立20251111

Summary of Conference Call Notes Company: 德科立 (Dekoli) Key Points Industry Overview - The DCI (Data Center Interconnect) industry is experiencing rapid growth, driven by increasing demand for AI applications and the need for effective resource allocation across data centers [2][3][5]. Strategic Partnerships - 德科立 has confirmed collaborations with Nokia and Weiyana, securing orders in Southeast Asia, which alleviates pressure in the telecom market [2][5]. - The company is expanding its ecosystem through partnerships, indicating a focus on user growth and application deployment [2][3]. Financial Performance - The company has seen a significant increase in inventory, with current orders amounting to approximately 500 million [2][5]. - Despite revenue contributions from product deliveries, profitability remains a concern, particularly with a low proportion of optical modules in current deliveries [5]. Product Development - The WSS (Wavelength Selective Switch) module is experiencing a surge in demand, indicating a shift in product focus [5]. - The third and fourth building plans are being finalized and deliveries have commenced, with production capacity in Thailand gradually being released [2][5]. Management Changes - Recent management changes are aligned with an internationalization strategy, with new leadership bringing stronger global experience [2][4][11]. - The board restructuring aims to enhance governance maturity, with specific roles assigned to ensure strategic focus and operational efficiency [4][11]. Internationalization Strategy - 德科立 plans to list in Singapore to enhance its international market competitiveness, citing the market's greater internationality and capital independence compared to Hong Kong [4][6]. - The company is open to introducing strategic investors, aiming to attract local technical investors and industry participants in Singapore [4][9][10]. Investment Plans - The company has allocated approximately 300 million RMB for overseas subsidiaries, focusing on R&D, market development, and capacity expansion [4][12]. - The funding will support the company's internationalization efforts and prepare for future overseas orders [12]. Future Growth Outlook - The company anticipates entering a rapid growth phase by 2026-2027, driven by improved delivery capabilities and a clearer performance realization logic [2][5]. - Investors are advised to closely monitor quarterly marginal changes as the company progresses [5]. Additional Insights - The collaboration with major players like Nvidia and Akamai highlights the strategic importance of edge computing in the evolving DCI landscape [2][3]. - The Singapore listing is seen as a potential model for other Chinese A-share companies, reflecting a broader trend in seeking international capital markets [6][10].