KSW-TECH(SH:688283)2026-01-28 01:55Summary of Conference Call Notes Company and Industry Overview - The company is involved in the wireless radio testing and simulation instruments sector, specifically focusing on satellite and 6G industries, which are driving demand for general wireless radio testing and simulation instruments [1][2]. Key Points and Arguments 1. Product Scarcity: The company is one of the few domestic manufacturers of wireless radio testing and simulation instruments, breaking the long-standing monopoly of international firms. Its core product has outperformed the giant Keysight in the domestic market [1]. 2. Satellite and 6G Development: The company is leading the development of a "multi-channel star network chain channel simulation simulator," which simulates star-ground and star-star channel environments. This is crucial for satellite and payload testing, and the growth of the satellite industry is directly increasing the demand for such testing instruments [1]. 3. Market Share: The company's channel simulation instrument holds over 40% market share domestically, with major clients including Huawei, China Mobile, and StarNet. However, the overall domestic testing instrument localization rate is only about 10%, indicating significant growth potential [1]. 4. Profit Margins: The company maintains a long-term gross margin of over 60% and a net margin of over 30% [2]. 5. New Product Launch - Mobile Comprehensive Testing Instrument: This product is seen as a key indicator for the growth of satellite terminals. The founder of Galaxy Aerospace stated that "mobile direct satellite connection will lead the 6G communication revolution" [2][3]. 6. Commercial Potential: The mobile direct connection is identified as the most significant application scenario for satellite internet, with the mobile comprehensive testing instrument simulating satellite networks and real channel environments for full process validation [4]. 7. Market Dynamics: The first generation of satellite networks is expected to drive demand for mobile direct satellite connections and special terminals, which will subsequently increase the demand for comprehensive testing instruments. Once mobile direct satellite connections are initiated, all mobile baseband chip manufacturers and mobile phone manufacturers will need to equip the mobile comprehensive testing instrument, priced at over 10 million yuan per unit [4]. 8. Market Size and Revenue Projections: The market space is projected to be in the tens of billions, with peak years potentially bringing in revenues of several billion for the company. The mobile comprehensive testing instrument has already received orders from some mobile manufacturers, with expectations for demand to surge mid-year [5]. 9. Future Product Pipeline: The company has multiple significant products in the pipeline, including those related to AI and semiconductor testing equipment, which are highly anticipated [5]. 10. Comparison with Keysight: The company is compared to Keysight, a leading global electronic testing and measurement company with a market value of $37 billion. The global wireless communication and RF microwave instrument market is valued at 100 billion yuan, with expected high growth due to the demand from satellites, 6G, and increased localization rates [5]. 11. Profit Potential: The company anticipates a mid-term net profit level of 600 million yuan and a market value target of 20 billion yuan, with several significant product options available [5]. 12. Risk Factors: A potential risk highlighted is that the pace of satellite terminal rollout may not meet expectations [5].