20 Mar 2023
Q-Tech reported 2H22 revenue of Rmb6,664m, which decreased 28.5% YoY. 2H22 total CCM shipment decreased 17.5% YoY to 210.7m units. ASP of CCM products declined 13.4% YoY to Rmb28.8. FPM shipment increased 2.8% YoY to 60.9m units in 2H22 with ASP plunged 34.1% YoY to Rmb8.4. 2H22 GPM narrowed 4.8ppt YoY to 2.5% on 1) weak smartphone market demand; 2) automotive and IoT products business are still in market development stage; and 3) RMB depreciation led to increase in raw material cost. 2H22 net profit declined 98.1% YoY to Rmb5.6m. FY22 net profit declined 80.2% YoY, which is slightly below the lower-end of profit alert of 70%-80% YoY net profit drop. The company recommended no dividend in FY22, same as last year. Management guided 1) >32MP CCM to account for over 35% of total CCM shipment; and 2) non-handset fields (IoT & automotive) CCM shipment to grow over 50% in FY23.