Securities Star News, on November 15, 2024, Bozhon Seiko (688097) announced that the company will organize on-site visits on November 14, 2024, Tianfeng Securities, Western Securities, Shanzheng Assets, Haitong Securities, Minsheng Securities, CICC, Guolian Securities, Caitong Securities, Huafu Securities, Hengtai Securities, Nanjing Securities, Everbright Securities, Zhongtai Securities, Guotai Junan Securities, Guohai Securities, Founder Securities, Guojin Securities, Caixin Securities, Harvest Fund, Yinhua Fund, Wells Fargo Fund, E Fund, Bank of Communications Schroder Fund, Northeast Securities, Zhonggeng Fund, Huaan Fund, Tianhong Fund, China Universal Fund, Huabao Fund, Chinese Life, Penghua Fund, Southern Fund, Taixin Fund, Nuoan Fund, Changjiang Securities, Invesco Great Wall, Great Wall Fund, CCB Fund, China Merchants Fund, Pengyang Fund, JPMorgan Fund, Wanjia Fund, Western Leader Fund, SPDB AXA, Xinhua Asset, China Securities Securities, Western Securities Proprietary Management, Polymer Capital Management (HK) Ltd, BlackRock, Point72, Changsheng Fund, HSBC Jinxin, Taikang Asset, PICC Asset, Yongying Fund, Baoying Fund, CITIC Securities, Industrial Securities Global, Xinyuan Fund, Tibet Dongcai Fund, Nanjing Securities Proprietary Trading, Huatai Asset, Panjing Investment, Changjiang Asset Management, Guojin Fund, Dongfanghong Asset Management, Huatai Baoxing, GF Securities, Hongshi Innovation Fund, China Securities Construction Investment Fund, Soochow Fund, Taikang Fund, ABC Life Insurance, Cinda Australasia, CITIC Prudential, GF Fund, Heyuan Fund, BOCOM Insurance Asset Management, Guosheng Securities, UBS SDIC, Xingyin Fund, Zheshang Securities Assets, Shanghai Dazheng Asset Management, Shanghai Longquan Investment, Shencai Fund, Hony Yuanfang Fund, Xinlan Investment, Shanghai Zhenhuang Investment, Huoyan Private Equity, China Post Securities, Juming Investment, Shanghai Qinchen Private Equity, Harmony Huiyi, Lideer, Yunlang Investment, Jinding Capital, Hawthorn Tree Assets, China Shipping Fund, Yunzhou Capital, Shanghai Hengsui Fund participated.

The details are as follows:

Q: What are the reasons for the growth of revenue and net profit attributable to the parent company in the first three quarters?

Answer: The main reason for the increase in operating income is that the company is deeply bound to major customers, focusing on the promotion of key projects, and the sales scale has increased; The main reason for the increase in net profit attributable to the parent company was the simultaneous growth of net profit attributable to the parent company driven by the growth of sales revenue and the optimization of product structure.

Q: Which downstream industries had better demand in the first three quarters?

Answer: At present, the company has many downstream industries, involving a wide range of industries, including consumer electronics, new energy vehicles, semiconductors, low-altitude economy, instrumentation, automation equipment parts, etc., but the main source of revenue is still consumer electronics. Overall, demand in industries such as consumer electronics is stable; The semiconductor industry is the key direction of the company's strategic expansion, with a small base and a rapid growth rate. In the future, the company will pay close attention to the changes in market demand, seize market opportunities, and provide customers with more and better services.

Q: Can you help us introduce the semiconductor business?

Answer: The semiconductor industry belongs to the key direction of the company's strategic expansion, with a small base, but the order growth rate is fast. The company's semiconductor products include three products, namely high-precision eutectic machine, high-speed and high-precision die bonding machine and OI testing equipment.

In terms of high-precision eutectic machines, the company's eutectic placement machines can be used in the current mainstream 400G, 800G, and 1.6T optical module bonding scenarios. In 2023, the company's new product Xingwei EH9721 has received 400G/800G batch orders from well-known enterprises in the industry, mainly for the research and development of 800G optical module products with computing power improvement requirements. At present, in addition to the major customers of eutectic machines, the company has sent prototypes to many customers and assisted customers in testing.

In terms of high-speed and high-precision die bonding machines, the company's die bonding machine products are mainly used for chip mounting, camera module assembly, etc. At present, the die bonder for the needs of the company's major customers is still in the testing stage, and the progress is relatively optimistic, and the order is expected to land quickly.

In terms of OI testing equipment, a new generation of products has been developed. At present, the company has sent prototypes to several customers and assisted customers in testing.

Q: What are the reasons for the positive net cash flow from operating activities in the first three quarters?

Answer: The company's net cash flow from operating activities in the first three quarters was 138.9201 million yuan, and the main reason for the positive was that the company paid attention to cash flow management while focusing on performance, improved the quality and efficiency of operation through deepening reform, continued to reduce costs and increase efficiency on the supply side, and improved customer credit management on the sales side, effectively improving the company's cash flow.

Q: What is the outlook for the overall 3C orders next year?

Answer: The company's expected growth drivers are mainly customers' plans to reduce manpower in the supply chain and improve the automation rate of production lines, as well as incremental opportunities brought by the full introduction of I. In addition, the company's 3C team has been doing horizontal expansion, such as Android manufacturers, e-cigarettes, wearable medical, etc. Overall, we are more optimistic about the overall orders of 3C next year.

Q: In the field of consumer electronics, what is the cooperation with Huawei?

Answer: The company has maintained a long-term business partnership with Huawei, providing assembly and testing equipment for its mobile phone products, as well as automated assembly equipment for its 5G base station antennas, which currently accounts for a small amount of overall revenue, and the company will also increase marketing efforts and continue to expand related businesses with Huawei.

Q: The company has set up a sales company overseas for a long time, do you have any plans to build factories overseas in the future?

Answer: The company adheres to the global strategic layout, has established a relatively complete overseas sales network, and the company's products have been sold to many countries or regions around the world.

The company established a Singapore subsidiary as early as 2016, which provides a good investment platform for vigorously expanding its business in Southeast Asia and international in the future, and will continue to increase its capital in the Singapore subsidiary in 2022, and actually conduct business in Singapore, which also provides support for the subsidiary to expand its business overseas. At the same time, the company follows the footsteps of 3C major customers and has successively established foreign subsidiaries in India, Vietnam and other countries. In the future, the company will continue to increase the investment in capital, manpower and technology of the Vietnamese subsidiary to better provide supporting services for large customers.

The company's new energy business has also made continuous breakthroughs overseas, and has now built a professional international marketing team covering batteries, automobiles, battery swap stations, smart home appliances and other industries. As the leading lithium battery enterprises have increased their overseas production plans, the company has closely followed the footsteps of major customers to expand overseas, and has equipped lithium battery special equipment for its overseas production lines. In 2023, the company will produce and deliver the first lithium battery line from battery cells to module packs in Turkey. Secondly, the company is also deepening cooperation with internationally renowned new energy vehicle companies and internationally renowned smart home appliance companies, and continuously expanding the scope of cooperation.

In the future, the company will focus on overseas expansion of lithium battery equipment, battery swap station equipment, auto parts production lines and other businesses, and accelerate the introduction of a number of stable head customers.

Bozhon Seiko (688097) main business: R&D, design, production, sales and technical services of automation equipment, automated flexible production lines, automation key components and tooling (fixtures) and other products.

According to the third quarter report of Bozhon Seiko in 2024, the company's main revenue was 3.274 billion yuan, an increase of 0.91% year-on-year; net profit attributable to the parent company was 254 million yuan, an increase of 10.61% year-on-year; deducted non-net profit of 197 million yuan, a year-on-year decrease of 2.21%; In the third quarter of 2024, the company's single-quarter main revenue was 1.441 billion yuan, a year-on-year decrease of 10.76%; the net profit attributable to the parent company in a single quarter was 158 million yuan, an increase of 13.55% year-on-year; deducted non-net profit of 122 million yuan in a single quarter, a year-on-year decrease of 9.02%; The debt ratio was 51.89%, the investment income was 314,100 yuan, the financial expenses were 53.7278 million yuan, and the gross profit margin was 34.78%.

A total of 11 institutions have rated the stock in the last 90 days, 6 have given buy ratings and 5 have overweight ratings. The average institutional price target over the last 90 days is 26.47.

Here's the detailed earnings forecast information:

Margin data shows that the stock has a net financing inflow of 57.6709 million in the past three months, with an increase in the financing balance, and a net outflow of 1.7159 million with a decrease in the balance of securities borrowing and lending.

The above content is compiled by Securities Star based on public information, generated by intelligent algorithms, and does not constitute investment advice.