Goodix Technology (603160): Annual report, Q1 performance exceeded expectations Optical fingerprint chip penetration accelerated

Goodix Technology (603160): Annual report, Q1 performance exceeded expectations Optical fingerprint chip penetration accelerated

A brief evaluation of performance in 2018, the company achieved total operating income of 37.

21 ppm, an increase of ten years.

08%; Net profit attributable to shareholders of listed companies.

420,000 yuan, at least -16.

29%; single quarter revenue in the fourth quarter of 201813.

56 billion, an annual increase of 64.

19%; net profit attributable to mother 4.

2.3 billion, previously + 240%.

2019Q1, revenue 12.

2.4 billion, ten years + 114%; net profit attributable to mother 4.

1.4 billion, ten years + 2039%.

Operating analysis The company’s revenue for 2018 was basically in line with expectations, but the net profit attributable to the parent exceeded expectations.

Initially 1) Comprehensive gross margin is 2 higher than our forecast.

5 points.

Among them, the touch chip still maintained a high gross profit margin (58%), exceeding our two expected replacements; the comprehensive gross profit margin of fingerprint chips also reached 51%, exceeding the expected 1.

5 units.

We estimate that the initial gross margin of the capacitive fingerprint chip exceeded our previous expectations.

2) Asset impairment losses were lower than our expectations.

The net profit attributable to mothers in Q1 2019 was much higher than expected.

Initially 1) Gross profit margin reached 61%.

Compared with only 41% in the first quarter of last year, mainly due to changes in product structure, the proportion of high-margin optical fingerprint chip revenue continued to increase.

2) The sales revenue and management expenses have increased relative to revenue, which has realized the improvement 天津夜网 of the company’s product competitiveness and management level.

Optimistic about the company’s future development strategy: 1) Capacitive touch field: The company launched OLED touch products, positioning the high-end OLED on cell market and entering Samsung’s supply chain.

And it has completed mass production of car-specific touch chips, which is expected to become a new growth point in the future.

2) Fingerprint recognition: In the first quarter of 2019, among the newly added devices, the under-screen fingerprint accounted for more than 15%; among the existing devices, the under-screen fingerprint accounted for only 1.
.

9%, the potential space is huge.

The company will continue to maintain above the optical fingerprint chip faucet.

Car-grade fingerprint products are in the research and development stage.

3) 3D 南宁桑拿 sensing and IoT platforms are expected to bring new growth points in the long run.

We believe that the company has a convenient layout in IoT, and the technology platform of Sensor + MCU + Security + Connectivity has a leading advantage in China.

Profit adjustment and investment recommendations Based on the company’s product competitiveness and gross margin assessment, we raise the company’s net profit attributable to its parent to 2019/2020 to 11.

32/13.

2 billion, an increase of 6.

5%, 13%.

With reference to the average evaluation of the semiconductor industry, the target price for the next 12 months is 128 yuan, corresponding to PE = 51x in 2019.

Risk warning: the expansion of optical fingerprint chips is not up to expectations; increased competition leads to drift in product gross margins