POCO(300811) 华源证券·2024-05-08 04:30Investment Rating - The report gives a "Buy" rating for the company, citing its strong position in the soft magnetic materials sector and the potential growth from its chip inductor business [42][70][73] Core Views - The company is a leader in the soft magnetic powder core sector, benefiting from the high growth of the new energy industry, particularly in photovoltaic and electric vehicle applications [33][38][42] - The chip inductor business, a new growth driver, is expected to see rapid expansion due to the increasing demand for AI computing power, with a projected 5-year CAGR of 41.6% [12][14][43] - The company has a dual-base production layout (Huidong and Heyuan), with capacity expected to reach over 50,000 tons by 2025, supporting its long-term growth [33][136] Product and Capacity - The company has a comprehensive product matrix, including alloy soft magnetic powder, powder cores, and inductor components, with a focus on high-power density and miniaturization [85][87] - The chip inductor business is expected to expand its monthly capacity to 10-15 million units by 2024, driven by AI server demand [34][147] - The company has established a joint venture with core employees to optimize resource allocation and enhance competitiveness in the chip inductor sector [3][34] Market Space and Growth - The global market for alloy soft magnetic powder cores is projected to grow from 4.59 billion yuan in 2022 to 10.01 billion yuan in 2025, with a 3-year CAGR of 29.7% [42][105] - The chip inductor market is expected to grow from 710 million yuan in 2022 to 4.06 billion yuan in 2027, driven by AI server demand, with a 5-year CAGR of 66.9% [14][43] - The company's alloy soft magnetic powder core business is expected to maintain a high gross margin of around 38% from 2024 to 2026 [37][150] Financial Performance - The company's revenue grew from 320 million yuan in 2018 to 1.16 billion yuan in 2023, with a 5-year CAGR of 29.0% [62] - Net profit attributable to shareholders increased from 70 million yuan in 2018 to 260 million yuan in 2023, with a 5-year CAGR of 30.0% [62] - The company's R&D expenses have consistently accounted for 5-7% of its revenue, supporting its technological leadership [89][90] Competitive Advantages - The company has a vertically integrated supply chain, from alloy soft magnetic powder to powder cores and inductor components, which enhances cost efficiency and profitability [33][135] - It has established strong relationships with key customers, including ABB, BYD, Huawei, and ZTE, ensuring stable demand and market penetration [110][111] - The company's chip inductor products have been validated by several international chip manufacturers, with mass production and delivery starting in the second half of 2023 [34][145]