Jiangsu Jiejie Microelectronics Co.Ltd(300623) ( Jiangsu Jiejie Microelectronics Co.Ltd(300623) ) event: the company issued its 2021 annual report on April 20, 2022. During the reporting period, the operating revenue was 1.773 billion yuan, a year-on-year increase of 75.37%; The net profit attributable to shareholders of the parent company was 497 million yuan, a year-on-year increase of 75.34%; The basic earnings per share is 0.68 yuan.
With a complete production chain dominated by IDM and supplemented by fabless + packaging and testing: the company is specialized in the R & D, design, production and sales of power semiconductor chips and devices, and has an IDM business system with advanced chip technology and packaging design, process and testing as the core competitiveness. According to the 2021 annual report, the company’s thyristor series products, diodes and protection series products adopt the business model of vertical integration (IDM), which integrates the vertical industrial chain of power semiconductor chip design, manufacturing, device design, packaging, testing, terminal sales and services. The MOSFET of the company mainly adopts the business mode of fabless + sealing and testing. At present, all chips (8 inches) are outsourced chips, and some devices are sealed and tested. After years of independent operation of the semiconductor company, the company has acquired the quality and stability of its first-line products.
Optimize the product structure and make MOSFET a new engine of performance: the company increases the investment in technological transformation and product R & D, and continues to promote the R & D of new products and processes, as well as the achievement transformation ability of new products. According to the 2021 annual report, the revenue of power semiconductor chips reached 306 million yuan, accounting for 17.26% of the total revenue and 28.06% in the same period of last year; The revenue of power semiconductor devices was 1.429 billion yuan, accounting for 80.6% of the total revenue, and 70.34% in the same period of last year. Among them, the gross profit margin of power semiconductor chip was 45.18%, with a year-on-year increase of 19.4%. According to the performance forecast of 2021, the business of the company’s Wuxi and Shanghai fabless teams continued to increase, with a significant year-on-year increase, of which the MOSFET increased by 177.30% year-on-year. According to the performance forecast of 2021, the proportion of new product revenue continues to remain above 20%. According to icinsights market research, among all kinds of semiconductor power device components, the products with the strongest growth in the future will be MOSFET and IGBT modules.
Fund raising and layout of vehicle specification level power semiconductor sealing and testing project: according to the 2021 convertible bond prospectus, the company plans to raise 1195 million yuan to invest in the “vehicle specification level” sealing and testing industrialization project of power semiconductor. After the completion of the project, it can realize the annual packaging and testing of 1627.5kk production capacity of various vehicle specification level high-power devices and power supply devices. Among them, DFN series products are 1425kk, toll series products are 90kk, lfpack series products are 67.5kk, and WCSP power supply device products are 45kk. In the field of small signal devices and power devices, the impact of packaging on the overall performance accounts for about 30% – 40%, and the impact of application on the overall performance accounts for about 20% – 30%. Packaging technology plays a prominent role in ensuring the overall performance of power devices. The DFN, TOLL, LFPACK and WCSP packaging technologies used in the company’s investment and development projects are the latest fourth generation power semiconductor packaging technology, and have advanced technology compared with the second generation packaging technologies commonly used in China. The company’s foresight in products and technology will help to open up market space in the future.
Investment suggestion: we expect the company’s revenue from 2022 to 2024 to be 2.491 billion yuan, 3.126 billion yuan and 3.907 billion yuan respectively, and the net profit attributable to the parent company to be 677 million yuan, 821 million yuan and 957 million yuan respectively, maintaining the “Buy-A” investment rating..
Risk tip: the prosperity of the industry is lower than expected; The progress of raised investment projects is less than expected; Market development is less than expected.
