Key takeaway

In 1Q26, the company achieved revenue of RMB305mn, up 44.47% YoY; net profit attributable to shareholders of the parent company was RMB44mn, up 160.59%. Profit growth outpaced revenue growth, mainly benefiting from rapid development in AI, computing power and other fields, as well as PCB industry capacity expansion in Southeast Asia. The company's electroplating equipment orders continued to grow rapidly, driving revenue scale to expand. As overseas cloud vendors continue to increase capital expenditure, the PCB industry is growing rapidly driven by the AI wave. As a leading domestic PCB electroplating equipment manufacturer, 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 volume ramp-up from end customers is expected.

Event

The company released its 2026 first-quarter report. 1Q26 revenue was RMB305mn, up 44.47% YoY and down 10.53% QoQ; net profit attributable to shareholders of the parent company was RMB44mn, up 160.59% YoY and up 24.59% QoQ; recurring net profit attributable to shareholders of the parent company was RMB43mn, up 165.77% YoY and up 25.63% QoQ.

Risks:

1. Risk of Macroeconomic Environment Changes : The company's core products are mainly used in the PCB electroplating, general hardware electroplating, and new energy sectors. If downstream industries are affected by macroeconomic cyclical fluctuations or adjustments to relevant industrial policies in the future, this will adversely impact the company's operating performance.

2. Risk of Core Technology Leakage: The industry in which the company operates is talent-intensive. With continuously growing market demand and increasingly fierce industry competition, competition for talent among enterprises is also gradually intensifying. If the company cannot continuously strengthen the recruitment, incentivization, and protection of technical talent, it faces a certain risk of technical talent loss.

3. Risk of Large Inventory: The company maintains a relatively large inventory. If the scale of the company's inventory expands further in the future, it may have a certain adverse impact on the company's production and operations.

4. Risk of Bad Debts from Accounts Receivable: The company has a relatively large amount of accounts receivable. If a customer's credit status undergoes a material adverse change in the future, the company will face a certain risk of bad debts from accounts receivable.