ON October 21, the domestic analog chip leader Shengbang Microelectronics (Beijing) Co., Ltd. (hereinafter referred to as “Shengbang shares”) announced that it plans to invest 300 million yuan to invest in the establishment of a wholly-owned subsidiary in Jiangyin High-tech Industrial Development Zone. Jiangyin Shengbang Microelectronics Co., Ltd. builds integrated circuit design and testing projects.
The announcement shows that Shengbang Co., Ltd. held the second meeting of the fourth board of directors on October 20, 2021, and reviewed and approved the “Proposal on the Company’s Proposed Signing of the and the Establishment of a Subsidiary with Foreign Investment”. The company plans to cooperate with Jiangyin High-tech The Management Committee of the Technology Industry Development Zone signed the Investment Agreement (hereinafter referred to as the “Agreement”), and invested in the establishment of a wholly-owned subsidiary Jiangyin Shengbang Microelectronics Co., Ltd. The name approved by the management department shall prevail) as the main body of the project implementation, to build an integrated circuit design and testing project with a total investment of about RMB 300 million.
Among them, the partner of the investment agreement is the Jiangyin High-tech Industrial Development Zone Management Committee. The proposed subsidiary is tentatively named Jiangyin Shengbang Microelectronics Co., Ltd., with a registered capital of 50 million yuan, which is a 100% subsidiary of Shengbang. According to the content of the agreement, Shengbang intends to invest and set up a wholly-owned subsidiary in Jiangyin High-tech Industrial Development Zone as the main body of project implementation. The Development Zone Management Committee provides assistance, the use is for industry, and the price of the land plot is subject to market assessment), and the construction of an integrated circuit design and testing project with a total investment of about RMB 300 million.
Regarding the impact of this foreign investment, Shengbang Co., Ltd. stated that the proposed foreign investment is in line with national policies and the company’s long-term development strategy, which is conducive to enhancing the company’s comprehensive strength, expanding the size of the team, and improving the company’s industrial layout. If the project progresses smoothly, it will help to further consolidate and enhance the company’s core competitiveness and meet the company’s strategic planning and business development needs.
At the same time, Shengbang shares also disclosed the possible risks of this foreign investment. On the one hand, there are uncertainties in the future market and business conditions. If there are changes in implementation conditions such as relevant national or local policy adjustments, project approvals, etc., the implementation of the project may be subject to changes, delays, suspensions or terminations. Uncertainty arises about future operating results. However, Shengbang Co., Ltd. also stated that it will not have a significant adverse impact on the company’s current operating conditions; second, the support policies that are expected to be enjoyed by the projects involved in this foreign investment have corresponding prerequisites, and whether the company can actually enjoy the relevant policies has a Uncertainty; third, the acquisition of the land use right of the project involved in this foreign investment needs to be carried out by way of listing, and there are uncertainties as to whether the land use right can be won, the final transaction price of the land use right and the time of acquisition; third Fourth, the implementation of the projects involved in this outbound investment still requires pre-approval work such as government project approval, environmental impact assessment, energy assessment, planning submission, construction bidding, and obtaining construction licenses. There are still uncertainties and may also face market conditions. , industry cycle, operation management and other risks.
The results for the first three quarters were positive, with a year-on-year increase of 103.29%
OFweek noted that Shengbang shares also recently announced the performance forecast for the first three quarters of 2021. During the reporting period, the company is expected to achieve a net profit of 424 million yuan to 460 million yuan attributable to shareholders of listed companies, an increase of 105.03% to 122.35% over the same period of the previous year. Among them, the company’s third quarter (July 1, 2021 – September 30, 2021) is expected to achieve a net profit of 164 million yuan to 200 million yuan, a year-on-year increase of 60% to 95%.
As for the reasons for the changes in performance, Shengbang Co., Ltd. said that the increase in net profit attributable to shareholders of listed companies from January to September 2021 compared with the same period of the previous year was mainly due to the company’s active expansion of business, the increase in product sales, and the corresponding year-on-year increase in operating income; The company expects that the impact of non-recurring gains and losses on the company’s net profit from January to September 2021 will be approximately 39.7 million yuan, mainly including equity transfer income, wealth management income and government subsidies.
According to the data, Shengbang Co., Ltd. is a high-tech enterprise focusing on the design and sales of high-performance, high-quality Analog integrated circuit chips. At present, it has more than 1,000 products in 16 categories, covering two major fields of signal chain and power management, including operational amplifiers, comparators, audio/video amplifiers, analog switches, level conversion and interface circuits, small logic chips, AFE, LDO, DC/DC converter, OVP, load switch, LED driver, microprocessor power monitoring circuit, motor driver, mosfet driver and battery management chip, etc. The company’s products can be widely used in consumer electronics, mobile phones and communications, industrial control, medical equipment, automotive electronics and other fields, as well as the Internet of Things, new energy, wearable devices, artificial intelligence, smart homes, drones, robots and shared bicycles and other emerging Electronic products.
In addition, the 2021 semi-annual report of Shengbang shares shows that during the reporting period, the company achieved operating income of 915 million yuan, a year-on-year increase of 96.66%; net profit of 257 million yuan, a year-on-year increase of 148.57%, of which, The net profit attributable to shareholders of the parent company was 261 million yuan, a year-on-year increase of 149.16%.
Shengbang Co., Ltd. said that from the second half of 2020 to the reporting period, the semiconductor integrated circuit industry continued to experience shortages in production capacity, chip shortages, and rising prices. With the support of demand, it maintained rapid growth. In addition to expanding cooperation with existing suppliers, the company has also increased investment in new suppliers in order to expand production capacity, increase output and ease delivery pressure. The company continues to increase investment in research and development, actively promotes products, gives full play to the competitive advantages of the company’s products in terms of performance and quality, and maintains a continuous and stable development in consumer electronics, communication equipment, industrial control, medical equipment, automotive electronics and other application fields. increase.