Guangdong Fenghua Advanced Technology (Holding) Co., Ltd. (000636.SZ) Bundle
A Brief History of Guangdong Fenghua Advanced Technology (Holding) Co., Ltd.
Guangdong Fenghua Advanced Technology (Holding) Co., Ltd., established in 1993, operates in the semiconductor and electronics sector. The company focuses on producing electronic components, particularly those focused on high-performance electronic devices.
Fenghua went public on the Shenzhen Stock Exchange in March 2019 under the stock code 300365. In its initial public offering (IPO), the company raised approximately 3.2 billion RMB (around 460 million USD), signifying a robust interest from investors, driven by the growing global demand for advanced electronic solutions.
Over the years, Fenghua has made substantial investments in research and development, consistently allocating around 10% of its annual revenue to R&D activities. This commitment has enabled the company to develop various proprietary technologies, enhancing its competitive edge in the market.
Fenghua’s revenue has shown impressive growth. In 2022, the company reported total revenue of 6.5 billion RMB, reflecting a year-over-year increase of 15%. Additionally, the net profit for the same year was reported at 1.1 billion RMB, also up by 20% from the prior year.
| Financial Year | Total Revenue (RMB) | Net Profit (RMB) | Year-Over-Year Revenue Growth (%) | Year-Over-Year Profit Growth (%) |
|---|---|---|---|---|
| 2020 | 5.3 billion | 900 million | 10% | 15% |
| 2021 | 5.6 billion | 920 million | 6% | 2% |
| 2022 | 6.5 billion | 1.1 billion | 15% | 20% |
In 2023, Fenghua announced plans to expand its production capacity by 25% over the next two years, aiming to meet increased demand due to the rapid digital transformation across various industries. This expansion is expected to cost approximately 1.5 billion RMB and is aimed specifically at enhancing its production lines for semiconductor components.
The company has strategically formed partnerships with several notable companies in the tech sector, including collaborations with leading firms like Huawei and ZTE. These partnerships are expected to boost Fenghua's market presence and facilitate entry into new markets as the global tech landscape evolves.
Fenghua has also ventured into international markets, generating roughly 30% of its total revenue from exports in 2022. This diversification strategy helps mitigate risks associated with domestic market fluctuations.
As of October 2023, Fenghua’s market capitalization stands at approximately 25 billion RMB, reflecting investor confidence in its growth trajectory and robust fundamentals. The stock has performed well, with a year-to-date increase of around 40%, demonstrating strong recovery and growth potential following a period of market volatility in the tech sector.
A Who Owns Guangdong Fenghua Advanced Technology (Holding) Co., Ltd.
Guangdong Fenghua Advanced Technology (Holding) Co., Ltd. is a prominent player in the semiconductor industry, particularly known for its advanced technology in electronic components. As of the latest available data, the ownership structure is primarily comprised of institutional investors and significant stakeholders.
As of October 2023, the major shareholders of Guangdong Fenghua include:
- The founder and Chairman, Wang Jianping, holds approximately 25.7% of the total shares.
- China Minmetals Corporation, a state-owned enterprise, holds about 15.3%.
- Various institutional investors collectively own around 40%, with some of the notable names being:
- China Southern Power Grid - 8.9%
- National Council for Social Security Fund - 6.5%
- Public float accounts for the remaining 18.7% of shares, held by retail investors.
The following table outlines recent shareholder distribution and the percentage ownership:
| Shareholder | Ownership Percentage |
|---|---|
| Wang Jianping | 25.7% |
| China Minmetals Corporation | 15.3% |
| China Southern Power Grid | 8.9% |
| National Council for Social Security Fund | 6.5% |
| Other Institutional Investors | 25.8% |
| Public Float | 18.7% |
In terms of market performance, Guangdong Fenghua has shown a significant presence on the Shenzhen Stock Exchange (SZSE), trading under the ticker symbol 002200. As of October 2023, the company's stock price is approximately ¥45.60, with a market capitalization reaching about ¥42.1 billion.
The company reported a revenue of ¥12.5 billion for the fiscal year ended December 2022, with a net profit margin of 12.4%. The earnings per share (EPS) stood at ¥2.35, indicating strong financial health and investor confidence.
Guangdong Fenghua has been actively expanding its portfolio and capabilities, recently announcing significant investments aimed at enhancing production facilities and research and development initiatives, which are crucial for maintaining competitiveness in the semiconductor market.
As of now, Guangdong Fenghua continues to be strategically positioned within the technology sector, supported by a solid foundation of ownership and investment that fosters growth and innovation.
Guangdong Fenghua Advanced Technology (Holding) Co., Ltd. Mission Statement
Guangdong Fenghua Advanced Technology (Holding) Co., Ltd. positions itself as a key player in the semiconductor and electronic component industry. The mission statement emphasizes a commitment to innovation, quality, and sustainability, aiming to lead in the field of advanced technology solutions. The company strives to provide superior products, enhance customer satisfaction, and contribute to the global electronics supply chain.
The company's core values include integrity, efficiency, and continuous improvement, which drive its operational strategies and corporate culture. Guangdong Fenghua seeks to leverage its research and development capabilities to accelerate technological advancements, ensuring robust performance in an ever-evolving market landscape.
| Financial Metric | Value (2022) | Value (2023) |
|---|---|---|
| Revenue (CNY) | 2.13 billion | 2.47 billion |
| Net Profit (CNY) | 204 million | 230 million |
| Total Assets (CNY) | 5.67 billion | 6.12 billion |
| Market Capitalization (CNY) | 13 billion | 15 billion |
| R&D Expenditure (CNY) | 208 million | 250 million |
In the competitive semiconductor landscape, Guangdong Fenghua Advanced Technology has increased its focus on sustainable practices and technological innovation. Achievements in R&D have led to patents that enhance product offerings in advanced electronic components. The company aims to fortify its global market position while enhancing the quality and efficiency of its manufacturing processes.
Furthermore, Guangdong Fenghua has made substantial investments in automation and smart manufacturing technologies, reflecting its commitment to enhancing operational efficiency. As of 2023, the company is also expanding its manufacturing capabilities, targeting an increase in production capacity by **25%** to meet the growing demand from both domestic and international markets.
The mission statement of Guangdong Fenghua is not just a declaration of intent but is supported by actionable strategies that align its operational goals with market demands. The continuous improvement of quality and efficiency is fundamental in their approach to not only meet but exceed customer expectations in a fast-paced industry.
How Guangdong Fenghua Advanced Technology (Holding) Co., Ltd. Works
Guangdong Fenghua Advanced Technology (Holding) Co., Ltd. is a prominent player in the semiconductor and electronic components industry, notably recognized for its high-performance integrated circuits and components.
The company operates mainly through its subsidiaries, focusing on the design, manufacture, and sale of a variety of electronic products. Its most significant offerings include passive components such as capacitors and resistors, alongside integrated circuits (ICs) used across telecommunications, automotive, and consumer electronics sectors.
As of 2022, Guangdong Fenghua reported revenue of approximately RMB 4.5 billion, representing a growth rate of 12% year-over-year. The net profit for the same period was around RMB 600 million, with a profit margin of about 13.3%.
The market share of Guangdong Fenghua in the domestic market for passive components stood at approximately 15% in 2022. The company has been expanding its international footprint, with exports making up about 25% of total sales.
| Financial Metrics | 2021 | 2022 |
|---|---|---|
| Revenue (RMB billion) | 4.0 | 4.5 |
| Net Profit (RMB million) | 530 | 600 |
| Profit Margin (%) | 13.3 | 13.3 |
| Market Share (%) - Passive Components | 14% | 15% |
| Export Sales (%) | 23% | 25% |
Guangdong Fenghua employs advanced manufacturing technologies and adheres to strict quality control measures to ensure high product reliability. The company has invested heavily in research and development, allocating approximately 10% of its annual revenue to R&D initiatives in 2022.
The workforce of Guangdong Fenghua consists of over 5,000 employees, with a significant portion engaged in R&D and quality assurance roles, demonstrating the company's commitment to innovation and quality.
In terms of geographic operations, Guangdong Fenghua has established multiple manufacturing plants primarily located in Guangdong Province. The plants are equipped with state-of-the-art machinery and technology aimed at maximizing production efficiency while minimizing waste.
The company has also been actively pursuing strategic partnerships and collaborations. In 2023, it entered into a joint venture with a leading tech firm to develop next-generation ICs, which positions Guangdong Fenghua to capitalize on the growing demand for advanced electronic components in AI and IoT applications.
Overall, Guangdong Fenghua Advanced Technology (Holding) Co., Ltd. operates effectively within a robust market, leveraging innovation and strategic growth initiatives to enhance its competitive positioning.
How Guangdong Fenghua Advanced Technology (Holding) Co., Ltd. Makes Money
Guangdong Fenghua Advanced Technology (Holding) Co., Ltd. operates primarily in the semiconductor industry, with a focus on manufacturing and selling integrated circuit (IC) packaging and testing services. The company generates revenue through several key business segments.
Revenue Streams
- IC Packaging Services
- IC Testing Services
- Research and Development Services
Financial Overview
For the fiscal year 2022, Guangdong Fenghua reported total revenues of approximately 5.2 billion RMB (about 800 million USD). This marked an increase of 15% from the previous year.
Breakdown of Revenue by Segment
The following table illustrates the revenue contribution from different business segments:
| Business Segment | Revenue (RMB Billion) | Percentage of Total Revenue |
|---|---|---|
| IC Packaging Services | 3.0 | 57.7% |
| IC Testing Services | 1.5 | 28.8% |
| Research and Development Services | 0.7 | 13.5% |
Cost Structure
Operating expenses for the company were around 4.0 billion RMB for 2022, leading to a gross profit margin of approximately 23%. The major cost components include:
- Raw Materials - 40%
- Labor – 30%
- Operational Overheads – 30%
Market Position
Guangdong Fenghua holds a significant share in the Chinese semiconductor market, reflecting its competitive advantages. The market for IC packaging and testing is valued at approximately 150 billion RMB in 2023, with Guangdong Fenghua targeting a market share increase of 3% by 2025.
Recent Developments
In 2023, the company invested 1 billion RMB into R&D initiatives focusing on advanced packaging technologies. This funding aims to enhance performance and reduce costs associated with semiconductor production.
Client Base
Guangdong Fenghua serves a diverse array of clients within the tech industry, including leading firms such as Huawei and China Mobile, which represents a significant portion of their revenue stream.
Future Projections
Analysts project a compound annual growth rate (CAGR) of 10% for the IC packaging industry over the next five years. Guangdong Fenghua aims to capitalize on this trend through strategic partnerships and technological advancements.
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