\u3000\u3 Guocheng Mining Co.Ltd(000688) 200 Beijing Huafeng Test & Control Technology Co.Ltd(688200) )
The company is the leader of semiconductor back channel testing equipment in China. The company is the largest local supplier of semiconductor testing system in China, and its products are mainly divided into two categories: (1) the main model sts8200 series is mainly used for analog and mixed signal integrated circuit testing, and also expands the testing of discrete devices and power devices; (2) The new product sts8300 is mainly for PMIC and power SOC testing, which can meet the testing needs of FT and CP at the same time. It has won orders from many high-quality customers and has achieved a certain installed capacity. At present, it is mainly 100m board, and 200m and 400m will be launched one after another. In 2021, the company’s test equipment revenue was 821 million yuan, with a year-on-year increase of 122%, accounting for 93.5% of the total revenue. We expect the revenue of this business to be 1.141/15.54/2.053 billion yuan from 2022 to 2024, with a year-on-year growth rate of 30-40%.
The company’s 2022q1 performance increased rapidly and the revenue structure continued to be optimized. The company’s operating revenue in 2022q1 was 259 million yuan, a year-on-year increase of 124% in a single quarter; The net profit attributable to the parent company was 122 million yuan, with a year-on-year increase of 356% in a single quarter; The net profit deducted from non parent company was 122 million yuan, with a year-on-year increase of 195% in a single quarter. From January to April 2022, the order volume of the company continued to rise, and the revenue and net profit of 22q1 increased significantly. From the perspective of income structure: the proportion of sts8300 rises to 30%, the proportion of power class rises to 20%, and the rest are traditional analog hybrid products; The proportion of design companies and customers increased to 40%, and the proportion of IDM accounted for 50%. With the continuous extension of the company’s business to power tester and SOC tester, the revenue structure is continuously optimized.
The company’s analog testing machines are growing steadily, the proportion of power testing machines is increasing, and the active layout of SOC testing machines will usher in a new growth point. The company has realized the import substitution of analog and mixed signal semiconductor automatic test systems. At the same time, it continues to expand its coverage in the testing field of power semiconductors such as gallium nitride, silicon carbide and IGBT, and actively layout the testing field of SOC integrated circuits. We expect that the company’s analog testing machine business will maintain stable growth for a long time; At present, the power testing machine business is in the stage of continuously obtaining new customers and increasing the installed capacity, which will become a new growth point of the company; A new generation of prototype for digital chip testing is expected to be released within one year. In the future, SOC tester will become a new growth curve of the company.
Consolidate Chinese business and actively expand overseas business, and the company’s global market share is expected to further increase. The company’s sales area covers Chinese Mainland, Taiwan, China, the United States, Europe, Japan, South Korea, Southeast Asia and other countries and regions. It is one of the few Chinese local manufacturers that can enter the European and American semiconductor market. At present, the company’s global market share is less than 15%. While consolidating its Chinese business, the company actively expands its overseas business, and the global market share is expected to continue to increase.
Profit forecast, valuation and rating: Beijing Huafeng Test & Control Technology Co.Ltd(688200) is the leader of China’s back channel tester. With the development of the company in power device tester, SOC tester and overseas market, the performance is expected to usher in a rapid release period. We maintain the company’s net profit attributable to the parent company from 2022 to 2024 as 607 million yuan, 823 million yuan and 1084 million yuan respectively, and the PE values corresponding to the current market value are 39x, 29x and 22x respectively, maintaining the “buy” rating.
Risk tip: the market expansion is less than expected, the technology research and development is less than expected, and the downstream application and demand are less than expected.
