\u3000\u3000 Sg Micro Corp(300661) (300661)
Event: the company issued the announcement of annual performance increase in 2021; In 2021, the company expects to realize a net profit of 650-722 million yuan attributable to shareholders of listed companies, with a year-on-year increase of 125% - 150%; The net profit after deducting non recurring profit and loss was 598-671 million yuan, with a year-on-year increase of 126.71% - 154.06%.
The company deeply cultivates power management and signal chain analog chips, continues to expand the product line and optimize the product structure. In the future, with the continuous introduction of products in the client, the company's business will continue to grow; At the same time, the company's R & D investment and R & D personnel are increasing year by year to ensure the stable launch speed of new products. The company continues to expand customers with local supporting advantages; At the same time, forward-looking layout of applications in emerging fields to seize market share; We are optimistic about the continuous growth of the company as a leader in Analog IC Design under the strong market demand.
Continuous growth of power supply + signal chain and continuous improvement of product structure. The company's main business is concentrated in the two fields of power management chips and signal chain analog chips. As of the first half of the year, the company covered 25 major categories of products, and the number of item numbers on sale reached more than 3500, covering different needs of the market. The company expects that in 2021, the net profit will increase rapidly year-on-year, the profitability will continue to improve, benefit from the improvement of product structure, the expansion of application fields and the increase of product sales, and the operating revenue will increase rapidly year-on-year.
The global analog IC market is growing steadily, and domestic alternatives have broad prospects. According to WSTS data, the global market share of Analog IC chips was 30.9% in 2021. It is expected that the global analog chip market will reach US $79.249 billion in 2022, with a year-on-year increase of 8.8%. According to the prediction of transparencymarket research, the global power management chip market value will exceed 128.4 billion US dollars by the end of 2031, with an annual compound growth rate of 16.6% from 2021 to 2031. At present, China's analog IC market is monopolized by overseas enterprises, and China's market share is still small. With the breakthrough of China's analog IC technology and products, the products are gradually upgraded to high-end, and the acceleration of domestic substitution in China's analog chip market has broad prospects.
Pay attention to R & D investment and expand the coverage and application of new products. The company attaches importance to R & D investment. From 2018 to 2020, the company's R & D expenses maintained an average annual growth rate of 49.7%, which has formed a strong R & D and innovation strength, and the launch speed of new products has made steady progress. At present, while maintaining the traditional market, the company's products continue to enter emerging markets and expand the downstream market of products. At present, the company maintains good advantages in the five fields of consumer electronics, communication equipment, industrial control, medical instruments and automotive electronics outside China. At the same time, it has steadily entered the field of emerging electronic products such as the Internet of things and artificial intelligence.
Profit forecast and investment suggestions: Based on the company's continuous deep ploughing power management + analog signal chain, continue to deep plough in the original application and layout emerging application fields, and give priority to benefit under the background of domestic substitution; We raised the profit forecast and adjusted the net profit forecast for 2021-2023 from 595 / 807 / 1014 million yuan to 688 / 935 / 1223 million yuan, maintaining the company's buy rating.
Risk warning: the forecast data is only preliminary accounting data, and the specific and accurate financial data shall be subject to the 2021 annual report officially disclosed by the company; New product R & D is less than expected risk; Price fluctuation risk of raw materials and sealed test; Market competition intensifies risks.
