WOER(002130)2024-05-08 15:28Financial Data and Key Metrics - LTK Le Ting's expected net profit is 9.616.8 billion RMB with a net margin of 40%18 RMB [2] - External lines currently use 112G speed, which is LTK Le Ting's main market [7] - LTK Le Ting's external line business has a gross margin of 20% and a net margin of 10% [16] Market Data and Key Metrics - The market for 224G lines is currently dominated by LTK Le Ting and Anlan, with LTK Le Ting having better quality and capacity [6] - The external line business is mature, with a gross margin of 20% and a net margin of 10% [16] - The market for NVL36+72 is estimated at 80 billion RMB based on 5.8 million units [5] Company Strategy and Industry Competition - LTK Le Ting is the main supplier for Amphenol, with a market share of 80% in the 224G competition [2] - The company expects to upgrade to 224G by the end of the year, which will correspond to CX8 network cards and 1.6T optical modules [15] - The industry trend is moving towards internal interconnects using cartridge copper cable connectors, with companies like Cisco, Meta, AMD, and Huawei frequently contacting Amphenol [3] - Silicon photonics IO is expected to be introduced by the end of 2025, but it will only replace a portion of copper lines in small trays [3] Management Commentary on Operating Environment and Future Outlook - The company expects significant profit contributions from high-speed and external lines starting from Q3 2024 [12] - The company anticipates that the trend will be observable in Q1-Q2 2025, with Amphenol likely to continue supplying for three generations of products [12] - The company believes that silicon photonics will not affect the position of copper within cabinets [12] Other Important Information - The cost of cartridge products is 90% wire material [14] - The company's external line business is expected to grow with the industry's development, despite having no excess profit [16] Summary of Q&A Session - No specific Q&A session details were provided in the content52.5%+ [2] - Traditional main business profit for 2024 is expected to be 9-10 billion RMB, a year-on-year increase of 35% [3] - High-speed line and external line business is expected to contribute 1219 billion RMB+ profit [3] - The total market size for NVL36+72 is estimated at 80 billion RMB based on 5.8 million units [5] Business Line Data and Key Metrics - LTK Le Ting's gross margin for high-speed lines is expected to be 57%75%+ [2] - The cost per meter for LTK Le Ting's high-speed lines is 4.56 RMB, with a selling price of 14