FII(SH:601138)2023-11-01 08:38Financial Performance - In the first three quarters of 2023, the company's revenue decreased by 9% year-on-year, with a 10% decline in Q3 revenue, primarily due to falling raw material prices and reduced demand for brand servers and smart home terminals [1] - Despite the revenue decline, net profit reached a record high, totaling 13.5 billion CNY for the first three quarters, a 14% increase year-on-year, and 6.34 billion CNY for Q3, a 29% increase year-on-year [1] AI Server Development - The company has seen rapid growth in AI server revenue, with GenAI server revenue doubling year-on-year in the first three quarters of 2023 [2] - GenAI servers have shown consistent revenue growth over three consecutive quarters, with their revenue share within the overall AI server segment continuously increasing [2] High-Speed Switches and Routers - Revenue from high-speed switches and routers has been growing steadily, benefiting from the demand for AI-driven data centers and network upgrades, with double-digit growth in revenue for both products in the first three quarters of 2023 [2] - The 800G switch is currently in the New Product Introduction (NPI) phase, with expected revenue contributions in the coming year [2] Precision Components for High-End Smartphones - The company has maintained a strong market position in high-end precision components, with stable demand for premium smartphones, particularly the iPhone 14 Pro Max, which was the best-selling model in the first half of the year [2] - The company anticipates continued growth in this segment, supported by strong sales of high-end models and ongoing collaboration with clients [2] Shareholder Returns and Buyback Plans - The company has increased its shareholder return efforts, with a dividend payout ratio of 49.43% in 2021 and 54.43% in 2022, distributing approximately 9.891 billion CNY and 10.925 billion CNY in cash dividends, respectively [3] - A proposal for a share buyback has been announced, aimed at enhancing investor confidence and aligning shareholder interests with company goals [3]