Tianshui Huatian Technology Co., Ltd.: history, ownership, mission, how it works & makes money

Tianshui Huatian Technology Co., Ltd.: history, ownership, mission, how it works & makes money

CN | Technology | Semiconductors | SHZ

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A Brief History of Tianshui Huatian Technology Co., Ltd.

Tianshui Huatian Technology Co., Ltd., established in 1997, is a prominent player in the semiconductor packaging and testing industry. The company is headquartered in Tianshui, Gansu Province, China. Over the years, Huatian has expanded its operations globally and steadily increased its production capacity.

As of the end of 2022, Tianshui Huatian reported a revenue of approximately RMB 6.72 billion, a year-on-year increase of 12.5%. The gross profit margin for the same year was recorded at 25.3%, reflecting effective cost management strategies.

In 2020, the company launched a significant expansion plan, investing around RMB 2 billion in its production facilities. This investment aimed to enhance its semiconductor packaging capabilities, catering to the increasing demand in consumer electronics and automotive sectors. By 2021, the annual production capacity reached around 2.5 billion units. Tianshui Huatian's commitment to innovation is evident, with over 300 patents granted by the Chinese Patent Office.

Year Revenue (RMB Billion) Net Income (RMB Million) Gross Profit Margin (%) Production Capacity (Units)
2019 5.25 500 24.1 1.8 billion
2020 5.98 530 24.7 2.0 billion
2021 6.00 550 25.0 2.5 billion
2022 6.72 600 25.3 2.5 billion

One of the company's strategic moves includes partnerships with leading tech firms such as Qualcomm and Huawei, allowing Tianshui Huatian to capitalize on the growing demand for advanced packaging technologies. In 2022, exports accounted for approximately 40% of total sales, indicating a strong international market presence.

As of October 2023, Tianshui Huatian's stock is traded on the Shenzhen Stock Exchange with a market capitalization of about RMB 20 billion. The company’s stock price has seen an increase of approximately 15% over the past twelve months, driven by robust earnings and positive market sentiment regarding the semiconductor industry.

In terms of corporate governance, Tianshui Huatian has made strides in environmental and social responsibility, committing to reduce emissions and improve workplace safety standards. The company has unveiled plans to achieve a 30% reduction in carbon emissions by 2025.



A Who Owns Tianshui Huatian Technology Co., Ltd.

Tianshui Huatian Technology Co., Ltd. is a notable player in the semiconductor industry, particularly in China. The company engages in various technologies related to integrated circuits and electronics manufacturing. As of the most recent reports, the ownership structure of Tianshui Huatian includes various institutional investors and individual shareholders.

According to the latest data available from the Shenzhen Stock Exchange, the top shareholders of Tianshui Huatian Technology Co., Ltd. are as follows:

Shareholder Ownership Percentage Type of Shareholder
Tianshui Aihua Technology Co., Ltd. 20.28% Institutional
China National Chemical Corporation 15.16% Institutional
Deutsche Bank AG 5.75% Institutional
Individual Investors 24.50% Individual
Other Corporate Investors 34.31% Corporate

The company has seen fluctuating stock performance, with recent trading sessions reflecting a total market capitalization of approximately ¥14 billion (around $2.15 billion USD). In the latest quarter, Tianshui Huatian reported an increase in revenue of 8.5% year-over-year, amounting to approximately ¥3.5 billion (about $537 million USD).

In terms of financial ratios, as of the end of Q2 2023, Tianshui Huatian Technology Co., Ltd. reported a Price-to-Earnings (P/E) ratio of 18.3 and a Return on Equity (ROE) of 12.7%. This suggests a solid position in the market compared to industry benchmarks.

Furthermore, the company's strategic partnerships with various technology firms enhance its operational capabilities, allowing it to maintain competitiveness in the rapidly evolving semiconductor landscape.



Tianshui Huatian Technology Co., Ltd. Mission Statement

Tianshui Huatian Technology Co., Ltd. (Stock Code: 002185) focuses on providing advanced packaging solutions and is committed to enhancing the technological capabilities of its semiconductor packaging and testing services. The company aims to establish itself as a leading player in the semiconductor industry by emphasizing innovation, quality, and reliability.

The mission statement reflects the company's dedication to technological advancement while maintaining high standards of product quality. It underscores their commitment to customer satisfaction and the continuous development of cutting-edge technologies. The strategic direction outlined by the mission statement includes:

  • Investing significantly in research and development (R&D).
  • Delivering high-quality products that meet global standards.
  • Expanding market presence both domestically and internationally.
  • Enhancing operational efficiency through automation and innovative manufacturing processes.
  • Fostering sustainable practices within production and supply chain management.

In terms of financial performance, Tianshui Huatian Technology has demonstrated notable growth. The company's revenue for the fiscal year 2022 was approximately RMB 3.62 billion, marking an increase of 18.7% compared to the previous fiscal year.

As of the first quarter of 2023, the company reported a net profit of approximately RMB 340 million, representing a year-on-year growth of 15%. The gross margin for the same period was reported at 25%.

Year Revenue (RMB) Net Profit (RMB) Gross Margin (%)
2020 2.94 billion 250 million 22%
2021 3.05 billion 295 million 23%
2022 3.62 billion 390 million 25%
Q1 2023 1.01 billion 340 million 25%

Furthermore, the company’s investment in R&D reached RMB 500 million in 2022, reflecting their commitment to innovation and continuous improvement in technology. This investment represents about 13.8% of total revenue for that year.

The mission statement is further supported by Tianshui Huatian's strategic initiatives, including collaborations with global technology firms, which have allowed them to expand their product offerings and enter new markets. The company is also focusing on developing environmentally friendly products, aligning with global sustainability trends.

Tianshui Huatian’s emphasis on professional development within its workforce has contributed to an increase in employee satisfaction and productivity. The average training investment per employee in 2022 was approximately RMB 8,000.

By consistently aligning its operations with its mission, Tianshui Huatian Technology Co., Ltd. continues to solidify its position as a significant contributor to the semiconductor industry, focusing on sustainable growth and customer-centric innovations.



How Tianshui Huatian Technology Co., Ltd. Works

Tianshui Huatian Technology Co., Ltd., established in 2003, is a leading supplier of integrated circuit packaging and testing services. The company focuses on providing high-quality solutions to its clients in the semiconductor industry. As of 2023, Huatian operates with a strong emphasis on innovation and technology advancements.

The company’s business model revolves around the design, manufacture, and assembly of semiconductor packaging. It offers a wide array of services including engineering, prototyping, and mass production, which cater to various segments such as consumer electronics, automotive electronics, and telecommunications.

In recent years, Tianshui Huatian has recorded substantial growth in revenue and profit margins. For the fiscal year 2022, the company reported a revenue of ¥9.5 billion (approximately $1.45 billion), marking an increase of 15% compared to the previous fiscal year. The net profit for the same period was ¥1.2 billion (around $182 million), showing a growth rate of 12%.

Here is a detailed overview of Tianshui Huatian's financial performance from 2020 to 2022:

Year Revenue (¥ billion) Net Profit (¥ billion) Growth Rate (%)
2020 7.5 1.0 8
2021 8.3 1.07 10
2022 9.5 1.2 12

Tianshui Huatian's product offerings include various packaging types, such as chip-on-board (COB), flip-chip, and multi-chip packages. With a global client base that includes prominent technology firms, the company has established itself as a trusted partner in the supply chain of semiconductor production.

The company’s operational strategy is characterized by its focus on R&D, investing around 10% of its revenue back into research and development initiatives. This investment aims to improve production efficiency and innovate new packaging technologies. In 2022, Tianshui Huatian introduced a state-of-the-art manufacturing line capable of producing 20 million units per month, enhancing its production capacity significantly.

Tianshui Huatian's stock performance reflects its operational success. The stock was valued at approximately ¥30 per share at the start of 2023, with a market capitalization of around ¥15 billion (roughly $2.26 billion). The share price has shown an upward trend, increasing by 25% over the last year.

In terms of market trends, the demand for semiconductor packaging has surged, driven by the rapid advancement of technology in sectors like automotive and consumer electronics. Tianshui Huatian is strategically positioned to capitalize on this growth, especially as electric vehicles and smart devices continue to proliferate, increasing the need for advanced semiconductor solutions.

Furthermore, the company has expanded its international footprint with operations in regions such as Southeast Asia and Europe. This global presence not only diversifies its revenue streams but also mitigates risks associated with geopolitical tensions and local market fluctuations.

Overall, Tianshui Huatian Technology Co., Ltd. exemplifies a robust business model within the semiconductor sector, driven by innovation, strong financial performance, and a commitment to quality and customer satisfaction.



How Tianshui Huatian Technology Co., Ltd. Makes Money

Tianshui Huatian Technology Co., Ltd. operates primarily in the semiconductor industry, focusing on various electronics manufacturing services (EMS) and integrated circuit (IC) packaging. Their revenue streams are diversified across different segments, including semiconductor technology, electronic components, and the provision of testing services. Here’s a closer look at how the company generates income.

Revenue Streams

  • Semiconductor Packaging: This is the core segment of the company. In the fiscal year 2022, revenue from semiconductor packaging services reached approximately RMB 2.3 billion, marking an increase of 12% from the previous year.
  • Electronic Components: The production and sale of electronic components contributed to revenue of about RMB 1.1 billion, which represents a year-over-year growth of 10%.
  • Testing Services: Tianshui Huatian provides semiconductor testing services, accounting for approximately RMB 500 million in revenue in 2022, an increase of 5% from 2021.

Financial Performance

In its most recent financial report for Q2 2023, Tianshui Huatian announced a total revenue of RMB 1.5 billion, showcasing a year-on-year increase of 15%. The gross profit margin stood at 22%, reflecting effective cost management and operational efficiency.

Market Trends and Demand

The demand for semiconductor packaging is driven by several factors, including the increasing use of electronics in various industries. The total addressable market for semiconductor packaging services is projected to reach USD 50 billion by 2025, offering significant growth opportunities for Tianshui Huatian.

Detailed Revenue Breakdown

Segment 2022 Revenue (RMB) Year-Over-Year Growth (%) Q2 2023 Revenue (RMB) Gross Profit Margin (%)
Semiconductor Packaging 2,300,000,000 12 800,000,000 24
Electronic Components 1,100,000,000 10 500,000,000 20
Testing Services 500,000,000 5 200,000,000 18

Investments in Technology

Tianshui Huatian has invested significantly in R&D to maintain its competitive edge. In 2022, the R&D expenditure was approximately RMB 450 million, accounting for 5% of total revenue. This investment focuses on advanced packaging technologies to enhance product performance and reliability.

Conclusion of Financial Standing

The company posted net profits of RMB 450 million for the fiscal year 2022, representing a 20% increase compared to 2021. The earnings per share (EPS) for 2022 was reported at RMB 1.5.

The stability and growth in revenue place Tianshui Huatian Technology Co., Ltd. in a strong position to capitalize on the escalating global demand for semiconductor solutions, as the tech landscape continues to evolve.

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