Shenzhen Honor Electronic (SZ:300870)2023-04-20 10:25Group 1: Company Overview and Financial Performance - The company reported a significant increase in R&D expenses in 2022, primarily due to the expansion of the R&D team and new equipment depreciation [3] - The company's overseas sales revenue in 2022 was 1.428 billion yuan, accounting for 52.81% of total revenue [4] - The revenue from the server power supply business was 597 million yuan, representing 22.07% of the company's total revenue, making it the second-largest business segment [4] Group 2: Product Development and Market Position - The company has introduced immersion liquid cooling solutions, achieving an overall efficiency of over 97% with the ATS component [3] - The server power supply products cover a power range from 60W to 30kW, applicable to various data center equipment [6] - The company is actively responding to the trend of domestic substitution in the server power supply market, which has become a significant development opportunity [5] Group 3: Operational Challenges and Strategic Responses - The company's operating cash flow decreased by 15.2% in 2022 compared to 2021, attributed to increased employee compensation, tax payments, and procurement costs [6] - The company has strategically reduced inventory due to rapid raw material price increases in 2021, leading to a decrease in inventory levels as sales revenue grew in 2022 [4] - The company is facing competition in the server power supply sector from major players such as Delta, Lite-On, and China Great Wall [5]