FAST PRINT(SZ:002436)2023-08-22 11:26Group 1: Industry Overview - The global PCB industry experienced a decline of 20.3% and 15.5% in Q1 and Q2 2023 respectively, with a projected decrease of 5.9% in Q3 and a recovery of 5.6% in Q4, leading to an annual market size of $74.1 billion, down 9.3% year-on-year [4] - The semiconductor industry faced a significant downturn, with EMS manufacturers declining by 6.4% and the chip industry down by 26.6%, particularly the memory chip sector which saw a drop of 55.6% [4] Group 2: Company Financial Performance - The company's revenue for the first half of 2023 was CNY 2.566 billion, a decrease of 4.81% year-on-year, which is better than the industry average [4] - The net profit attributable to shareholders, excluding non-recurring gains and losses, was CNY 6.3476 million, down 97.66% year-on-year, with a decrease of CNY 265 million compared to the same period in 2022 [4] - The CSP packaging substrate business reported a revenue of CNY 289.41 million, down 22.75% year-on-year, with a gross margin of -7.68% [5] Group 3: Project Developments - The FCBGA packaging substrate project in Zhuhai aims for a production capacity of 2 million units per month, with successful trial production completed by the end of December 2022 [5] - The Guangzhou FCBGA project plans to build a production line with a capacity of 20 million units per month, with the first phase expected to be completed by Q4 2023 [5] - The acquisition of Beijing Yifei Electronics Co., Ltd. was completed on June 20, 2023, for CNY 827 million, and the integration of its core team and assets is underway [5] Group 4: Future Outlook - The company anticipates a gradual recovery in demand, with production capacity utilization increasing from approximately 30% in Q1 to nearly 60% in Q2 2023 [5] - The long-term growth rate for packaging substrates is projected at 5.1% from 2022 to 2027, indicating potential for better-than-average growth [5] - The company is committed to digital transformation and high-end packaging substrate strategies, focusing on future positioning and internal capabilities during industry downturns [6]