SCC(SZ:002916)2024-01-25 09:52Group 1: PCB Business Overview - The company focuses on high-end PCB product design, R&D, and manufacturing, primarily serving communication equipment, data centers, automotive electronics, and industrial medical fields [2] - The distribution of downstream applications has not significantly changed compared to the first half of 2023 [2] - In Q3 2023, the overall demand in the communication market did not show significant improvement, with the company planning to enhance market development efforts [2] Group 2: Data Center Market - The data center segment has become a key area for the company, contributing significantly to revenue, although the overall market share still requires further expansion [3] - In Q3 2023, orders in the data center sector decreased year-on-year due to global economic downturns and delays in the EGS platform transition [3] - The company is focusing on expanding its customer base and seizing opportunities from the gradual transition of the EGS platform [3] Group 3: Automotive Electronics Market - Automotive electronics are a major focus for the company's PCB business, particularly in the areas of new energy and ADAS [3] - The company has seen a year-on-year increase in revenue from automotive electronics, with a growing contribution to overall PCB revenue [3] - New customer projects are gradually being released, supported by the ramp-up of production capacity at the Nantong Phase III factory [3] Group 4: Packaging Substrate Business - The company’s packaging substrate products cover a wide range, including module packaging substrates and storage packaging substrates, primarily used in mobile smart terminals and servers/storage [4] - In Q3 2023, there was a quarter-on-quarter increase in orders for various packaging substrates due to partial recovery in demand from the consumer electronics market [4] - The company is actively introducing new projects and developing new customers, particularly in the storage and RF module markets [4] Group 5: Technological Advancements - The company has made progress in the R&D and customer certification of FC-BGA packaging substrates, with mid-range products successfully certified and high-end products in the trial production stage [4] - The Guangzhou packaging substrate project is currently in the debugging phase, with production capacity ramp-up underway [4] - The company possesses HDI process capabilities, applicable to mid-to-high-end products in communication, data centers, industrial medical, and automotive electronics sectors [4] Group 6: Raw Material Procurement - The prices of key raw materials, including copper-clad laminates and copper foil, have remained relatively stable since 2023 [4] - The company continues to monitor international market trends for commodities like copper and maintains active communication with suppliers and customers [4] Group 7: Future Expansion Plans - The company is in the planning stage for a factory in Thailand, aimed at PCB product manufacturing and sales, which will help expand overseas market reach [4]