\u3000\u3000 Guangdong Leadyo Ic Testing Co.Ltd(688135) (688135)
Event: the company released the annual performance forecast for 2021. It is estimated that the annual operating revenue in 2021 will reach 405 million yuan to 430 million yuan, with a year-on-year increase of 60.19% to 70.08%; The net profit attributable to the parent company is expected to reach 105 million yuan to 120 million yuan, with a year-on-year increase of 102.13% to 131.00%; It is expected to realize a net profit of 106 million yuan to 121 million yuan, a year-on-year increase of 131.78% to 164.57%.
Comments: 5g + industrial communication + biometric + MCU + aiot drives the high growth of chip testing. The company seizes the opportunity of multi-point flowering downstream by virtue of its technology and service advantages. The company covers the downstream sector. In the future, the track is extremely broad and the demand is repeated. The company has obtained testing advantages in the application fields of emerging products such as 5g communication, sensors, Internet of things, fingerprint identification, financial IC card, Beidou navigation and automotive electronics. In the future, the company will strengthen its efforts to continue to deploy integrated circuit testing in the fields of AI, VR, blockchain, big data and cloud computing. The golden age of aiot has come, and the semiconductor “100 billion” competition has been opened. The company is looking forward to the layout of face recognition and smart home in the field of aiot; The value and quantity of automotive semiconductors driven by new energy vehicles are expected to upgrade synchronously. The company is looking forward to the layout of vehicle networking, tire pressure monitoring, automatic driving, etc; With the advent of 5g era, leading the market demand for RF filters, the company has arranged RF, PA, FPGA, LNA, switch, etc. With the gradual advancement of the raised investment project, the test capacity is gradually released and benefits are generated. The company will continue the growth trend of chip testing in various fields in 2021.
The demand for production expansion + localization makes the test orders full, and the company’s production capacity is in full load operation. It is expected to reach a record high in the fourth quarter. The Chinese mainland wafer fab has increased investment, expanded capacity and chip design company to grow rapidly, and tested the demand development closely. The localization trend of wafer manufacturing is obvious, which will be conducive to the development of wafer testing industry. Since the second half of 2020, the market has been in an unprecedented boom, and the production capacity is in short supply. The production expansion trend of SMIC Huahong is clear. It is expected to continue to expand production in the next four years, and the rapid expansion of production capacity will drive the test demand. Meanwhile, the IC design sales in 2020 will be 337.84 billion yuan, an increase of 23.3%, and the test demand will follow the development. In the second half of 2021, the company has full test orders and the production capacity is in full load operation. It is estimated that the operating revenue of 2021h2 will be RMB 245492600 to RMB 270.4926 million, an increase of 91.15% to 110.61% compared with RMB 128.4322 million in the same period of the previous year; Among them, the company’s expected operating revenue in the fourth quarter is RMB 133.7169 million to 158.7169 million, a record high in a single quarter since the establishment of the company.
For the downstream high development applications, we will continue to cultivate the R & D layout, superimpose the indispensable high gross profit advantage of independent test track, and are optimistic about the long-term development of the company. Seizing the high-tech opportunities of downstream applications, the company continues to develop test technologies such as touch chips, fingerprint chips and wireless industrial control chips, as well as equipment development and technical capabilities such as strip packaging product automatic probe platform and 3D high-frequency intelligent classification manipulator. The gross profit margin of the overlay chip testing industry is higher than that of the electronics industry as a whole, which is an indispensable track with high customer stickiness. Chip testing plays an essential role in the integrated circuit industry chain. The impact cost of defect related faults ranges from tens of dollars at the IC level to hundreds of dollars at the module level, and even thousands of dollars at the application end level. The gross profit margin of the test track occupied by the company is higher than the industry average. At the same time, the company combines the in-depth research and development of equipment + software and hardware, binds customers as strategic partners, improves customer stickiness and is optimistic about the long-term development of the company.
The company issued the prospectus for issuing A-Shares and securities to specific objects in 2021, raising funds to effectively expand the chip test capacity. The total amount of funds raised from the issuance of shares to specific objects does not exceed 1.355 billion yuan, which will be used for Dongcheng Guangdong Leadyo Ic Testing Co.Ltd(688135) integrated circuit test project and supplementary working capital. The project is implemented by Dongguan Liyang, a wholly-owned subsidiary of Guangdong Leadyo Ic Testing Co.Ltd(688135) . The raised funds will mainly be used to build relevant factories and office buildings for chip testing business, purchase relevant equipment required for chip testing, expand chip testing capacity and meet the rapid growth demand of integrated circuit testing industry. The completion of the project will greatly improve the company’s CP test service and FT test service, and improve the quality and comprehensive competitiveness of the company’s products and services. Profit forecast: the company benefits from the high growth of downstream applications such as 5g + MCU + aiot, and the superposition of capacity release produces benefits, and the performance is expected to continue to grow. It is estimated that the net profit of the company in 2021 / 2022 / 2023 will be 100 / 160 / 210 million, maintaining the “buy” rating of the company.
Risk warning: the performance forecast is only the preliminary accounting data, subject to the annual report data, concentrated sales areas, rising labor costs, aggravation of the epidemic and loss of R & D technicians
