Key Takeaway

In 2025, the company’s annual performance saw rapid growth, achieving revenue of 1.107 billion yuan, an increase of 47.65% yearover- year. This was mainly driven by the fast development of artificial intelligence and computing power, as well as the expansion of PCB industry capacity in Southeast Asia. Orders for the company’s electroplating equipment continued to grow strongly, fueling the rapid expansion of revenue scale. In 2025, the company’s net profit attributable to the parent company is 129 million yuan, an increase of 86.81% year-on-year, significantly surpassing revenue growth. This reflects prominent cost control results and continuous improvement in operational efficiency. The net profit attributable to the parent company excluding non-recurring items is 125 million yuan, an increase of 103.52% year-on-year, indicating a significant enhancement in core business profitability and strengthened profit sustainability.

With overseas cloud providers continuing to increase capital expenditures, the PCB industry is experiencing rapid growth driven by the AI boom. As a leading domestic manufacturer of PCB electroplating equipment, the company will benefit significantly from this round of PCB industry capacity expansion. In addition, the company's new energy business, represented by composite current collector equipment, is progressing smoothly, and an increase in orders from end customers can be expected.

Event

The company released its 2025 results preview. From January to December 2025, it achieved operating revenue of 1.107 billion yuan, a year-on-year increase of 47.65%; net profit attributable to shareholders of the parent company was 129 million yuan, a year-on-year increase of 86.81%; net profit attributable to shareholders of the parent company excluding non-recurring items was 125 million yuan, a year-on-year increase of 103.52%.

Quick Take

Orders for PCB electroplating equipment continue to grow, driving high increases in both revenue and profit for the company.

In 2025, the company’s earnings grew rapidly, achieving revenue of 1.107 billion yuan, a year-on-year increase of 47.65%. This was mainly driven by new opportunities brought by the wave of PCB investments in Southeast Asia and the rapid development in artificial intelligence and computing power. In the PCB sector, demand for high-end board materials increased, along with the number of layers and thickness of related circuit boards. Orders for the company’s electroplating equipment grew significantly, especially orders for pulse electroplating equipment, which increased noticeably. In 2025, the company’s newly signed order value and order quantity maintained a strong growth trend, further driving the company’s overall performance to achieve significant growth compared to the same period last year.

As the company's revenue stabilizes and rebounds, profits also begin to grow significantly in tandem due to economies of scale. In 2025, the company’s net profit attributable to shareholders reached 129 million yuan, an increase of 86.81% year-on-year. The profit growth rate significantly outpaced revenue growth, indicating ongoing improvements in cost control and operational efficiency. The net profit attributable to shareholders of the parent company excluding non-recurring items was 125 million yuan, a substantial year-on-year increase of 103.52%, reflecting a notable enhancement in the profitability of the company’s core business, with profit quality at a high level.

AI drives both volume and price growth of PCB electroplating equipment, and the company, as an industry leader, benefits greatly.

High-performance computing scenarios such as AI servers place higher demands on the number of PCB layers, density, and transmission rates, driving a surge in demand for high multilayer boards and advanced HDI boards, which in turn boosts upstream core equipment. Electroplating is a key value-added process in PCB manufacturing, accounting for about 20% of equipment investment. The performance of the equipment directly affects the quality of the final product. As a global leading supplier of electroplating equipment, the company has been deeply engaged in electroplating technology for 20 years. Its well-developed product line can meet the precision manufacturing requirements of high-end AI PCBs. The company's core product, the vertical continuous plating equipment (VCP), can be used for high multilayer PCB manufacturing. The new horizontal plating three-in-one equipment is more widely applied in the HDI field and is expected to fully benefit from the equipment upgrades and capacity expansion driven by this round of AI computing power demand.

Currently, the global electronics industry chain is being restructured, and the shift of PCB production capacity to regions such as Southeast Asia has become a trend. The local PCB manufacturers’ expansion boom is directly driving demand for electroplating equipment. As a leading global PCB electroplating equipment company, leveraging its technology and market share advantages, it has not only established strong ties with domestic customers but also successfully entered the core segments of global capacity deployment, becoming a key equipment supplier for Southeast Asia’s PCB production capacity expansion, with a significant increase in overseas order contributions.

Platform-based technology expands new application scenarios, opening up long-term growth potential.

The company leverages its deep technical expertise in the electroplating field to expand its core technologies horizontally into the new energy and semiconductor sectors, creating its second and third growth curves. In the new energy sector, the company is the world's only enterprise to achieve large-scale mass production of composite copper foil "water electroplating" equipment, and it is also developing composite aluminum foil vapor deposition equipment, with a significant first-mover advantage. Currently, the technical bottleneck of composite current collectors on the battery side has been overcome, awaiting large-scale adoption by end customers.

In the semiconductor field, the company has launched TGV electroplating lines for glass substrates and MVCP equipment for advanced packaging, and has delivered them to customers for trial production verification. In addition, the company is actively exploring copper-for-silver technology in the photovoltaic industry. This technology can not only improve the production capacity and efficiency of photovoltaic cells but also effectively reduce costs, with broad application prospects.

Profit Forecast and Investment Recommendations

It is estimated that from 2025 to 2027, the company will achieve operating revenue of 1.107 billion yuan, 2.002 billion yuan, and 3.316 billion yuan, representing year-on-year growth of +47.65%, +80.74%, and +65.70%, respectively; the company’s net profit attributable to shareholders will be 129 million yuan, 301 million yuan, and 545 million yuan, representing year-on-year growth of +86.81%, +132.72%, and +80.91%, respectively, with corresponding P/E ratios of 108.77x, 46.74x, and 25.83x. Considering the company’s forward-looking business strategy in PCB electroplating equipment, it is expected to continue benefiting from this round of PCB industry capacity expansion cycle, and is given a “Buy” rating.

Risk Analysis

1. Risk of macro-environment changes: The company's core products are mainly applied in the PCB electroplating field, general hardware electroplating field, and new energy field. If downstream industries are affected by macroeconomic cycle fluctuations or adjustments to related industrial policies in the future, it will have an adverse impact on the company's operating performance.

2. Risk of core technology leakage: The industry in which the company operates is characterized by being talent-intensive. As market demand continues to grow and industry competition becomes increasingly fierce, competition for talent among enterprises is also intensifying. If the company cannot continuously strengthe n the recruitment, motivation, and protection of technical talent, there is a certain risk of losing technical talent.

3. Large inventory risk: At the end of June 2025, the company ’s inventory was 863,106,200 yuan. If the company's inventory scale further expands in the future, it could potentially have a negative impact on the company's production and operations.

4. Bad debt risk of accounts receivable: At the end of June 2025, the company ’s accounts receivable amounted to 699.7592 million yuan. If the customer's credit situation significantly deteriorates in the future , the company will face a certain risk of bad debts in accounts receivable.