New Stocks Outlook | AI Server Demand Drives High Performance Wus Printed Circuit's Sprint in "A+H" Layout of Global High-End PCB Market

In the context of the accelerated industrialization of artificial intelligence worldwide, printed circuit boards (PCBs) serve as a crucial basic component for data centers and computing devices, and their technical specifications and production capacity are facing a new round of upgrade requirements. With the rapid expansion of high-end applications such as AI servers and high-performance computing, there is a significant increase in market demand for PCB products with high layer counts, high density, and high transmission reliability, driving the industry towards advanced manufacturing fields such as high-density interconnects (HDI). During this stage of industry evolution, the capital market has become an important channel for related companies to layout technology upgrades and capacity expansion. Wus Printed Circuit Co., Ltd. (referred to as "Wus Printed Circuit," 002463.SZ) has officially filed for listing on the main board of the Hong Kong Stock Exchange, with CICC and HSBC serving as joint sponsors. If this issuance is successfully completed, Wus Printed Circuit will become another PCB company that has achieved a dual listing layout in the "A+H" markets. The AI revolution and smart cars are driving structural growth in the PCB market It is noted that in recent years, the global PCB market has undergone structural changes, with growth shifting from traditional consumer electronics to high-performance computing and automotive electronics among other high-end fields. In terms of sales revenue, the global PCB industry is expected to reach $75 billion by 2024, with a compound annual growth rate of 3.6% from 2020 to 2024. It is estimated that by 2029, the global PCB industry market size will reach $96.8 billion, with a compound annual growth rate of 5.2% from 2024 to 2029. Among them, data communication is the fastest-growing sector. The related PCB market size is expected to increase from $21.8 billion in 2024 to $32.7 billion in 2029, with a compound annual growth rate of 8.4%, significantly surpassing the overall industry growth rate. This growth is mainly driven by the upgrade of general server platforms and the surge in demand for AI servers. According to a research report by Analysys, driven by the explosive demand for AI, the data center transmission rate has quickly evolved from 400G/800G to 1.6T. This trend places extremely stringent requirements on efficient management of massive computing power and high-speed data interconnection, making high-layer, high-frequency, high-speed, and high-flow PCBs even more critical. At the same time, the trends of electrification and intelligence in automotive electronics are creating new growth opportunities. The automotive PCB market is expected to increase from $9.2 billion in 2024 to $11.5 billion in 2029, with a compound annual growth rate of 4.5%. Advanced driver-assistance systems (ADAS), in-car infotainment systems, and power control systems for electric vehicles all have a huge demand for high-reliability and high-complexity PCB products. Wus Printed Circuit's core strategy is focused on the two major golden tracks of "data center + automotive electronics." The prospectus shows that Wus Printed Circuit is a leading global provider of PCB solutions in the fields of data communication and smart cars. The booming demand for AI-driven data centers, especially in the field of high-performance computing and data interconnectivity applications, has become the core engine driving the company's performance growth. In addition, the rapid development of electrification, intelligence, and networking in the automotive sector is also injecting momentum into the company's long-term performance growth. According to information from Analysys, based on revenue for the 18 months ending on June 30, 2025: Wus Printed Circuit ranks first globally in data center PCB revenue, with a global market share of 10.3%; the company ranks first globally in PCBs of 22 layers and above, with a global market share of 25.3%; the company ranks first globally in PCB revenue for switches and routers, with a global market share of 12.5%; and the company ranks first globally in high-end HDI PCBs for L2+ autonomous driving domain controllers, with a market share of 15.2%. The dual-drive of "data center + smart car" Looking into details, the company's product applications can be divided into several major areas, including data communication, smart cars, industrial control, and others. Among them, the data communication segment is the company's main source of revenue, contributing around 70% of income consistently. According to financial data, from 2022 to 2024, data communication business revenues were approximately RMB 5.495 billion, RMB 5.87 billion, and RMB 10.093 billion, respectively, accounting for total revenue share increasing from 65.9% to 75.7%, becoming the core engine driving the company's performance growth. Especially in 2024, with the explosion of AI servers and high-performance computing (HPC) demand, revenue from AI servers and HPC-related PCBs reached RMB 2.975 billion, a year-on-year increase of 133.6%, with the proportion rising to 22.4%; revenue from high-speed network switches and routers also maintained steady growth, reaching RMB 3.892 billion, accounting for 29.2%. The smart car sector as the second growth pole achieved revenue of RMB 2.408 billion in 2024, an 18.7% year-on-year increase, accounting for 18.1% of total revenue. Among them, revenue from smart cars and electrification systems was RMB 549 million, a 70.6% year-on-year increase, reflecting the company's continuous breakthroughs in high-value-added PCB products such as electronic control units (ECUs) and battery management systems (BMS) for new energy vehicles; revenue from safety systems and other products was RMB 1.859 billion, which, though slightly declined year-on-year, still held a stable share in the overall market. The industrial control and other business sectors witnessed a declining trend in revenue, with only RMB 338 million in 2024, a decrease of about 40% from 2022, accounting for a reduced proportion of total revenue to 2.5%, mainly due to the weak demand from downstream traditional industrial equipment. The other business mainly includes the recycling of self-sold corner materials and property sales and leases, with a relatively small revenue scale ranging from RMB 300 million to RMB 500 million. From the data in the first half of 2025, the company continued its strong growth momentum: revenue from data communication business reached RMB 6.532 billion, a year-on-year increase of 67.3%, with its share of total revenue further increasing to 76.9%; revenue from smart cars was RMB 1.422 billion, a growth of 23.7%; while industrial control and other businesses continued to decline, with revenue only at RMB 198 million. It can be seen that the company's business structure is accelerating towards high-end applications centered on AI computing power and smart networked cars, with the potential for sustained growth momentum in the future. In this context, the revenue of Wus Printed Circuit has also continued to grow in recent years. In the fiscal years of 2022, 2023, and 2024, Wus Printed Circuit's revenue was approximately RMB 8.336 billion, RMB 8.938 billion, and RMB 13.342 billion, respectively. In the first half of 2025, this value further increased from RMB 5.424 billion in the same period last year to RMB 8.494 billion. At the same time, the company's profitability has also been growing continuously, with the gross profit margin increasing from 27.9% in 2022 to 31.7% in 2024, and further increasing to 32.3% in the first half of 2025. The company's profits were RMB 1.362 billion, RMB 1.490 billion, and RMB 2.566 billion in the fiscal years of 2022, 2023, and 2024, respectively. In the first half of 2025, the company's profit reached RMB 1.678 billion, already surpassing the full-year profits of 2022 and 2023. However, it is important to note that behind the high growth in performance, the company also faces risks. Like most of its peers, the company's business is highly reliant on international markets. According to the prospectus, the company's revenue from overseas sales in 2022, 2023, 2024, and the first half of 2025 was approximately RMB 6.294 billion, RMB 7.218 billion, RMB 11.104 billion, and RMB 6.893 billion, respectively, accounting for proportions of the total revenue as high as 75.5%, 80%, 83.2%, and 81.1%, respectively. This business structure means that the company's operational performance is significantly influenced by multiple external factors such as international trade policies, geopolitical relations, economic conditions in target markets, and currency fluctuations. Especially in recent years, as the global technology industry chain accelerates its restructuring, some countries are pushing for "de-risking" or local manufacturing strategies, which may pose potential challenges to the company's export-oriented business model. Additionally, if regions where its main customers are located (such as North America and Europe) reduce capital expenditure due to economic downturns or adjustments in technology investment pace, it may directly impact the company's order visibility and capacity utilization rates. Therefore, how to maintain overseas high-end market share while accelerating the localization layout in emerging areas such as domestic AI infrastructure, smart cars, and ICT innovation will be a key strategic direction for the company to balance growth and risks. In conclusion, with its deep technical expertise in high-end PCBs, leading global customer resources, and a strategic focus on the dual-drive of "data center + smart cars," Wus Printed Circuit has firmly grasped the historic opportunities brought by the AI and electric intelligent networking waves. The company's revenue and profits have continued to grow, its product structure is constantly optimized towards high-value-added areas, demonstrating strong growth resilience and industry leadership. However, in the face of an increasingly complex international environment and industrial chain restructuring trends, Wus Printed Circuit also faces certain risks. The company urgently needs to consolidate its overseas high-end market share and accelerate the expansion of domestic AI computing infrastructure, new energy vehicles, and ICT applications, driving a balanced development strategy of "internal and external development." With the progress of the H-share listing process, the company is expected to leverage the dual capital platform of "A+H" to further strengthen global production layout, technology R&D investment, and supply chain resilience, injecting new momentum into long-term sustainable growth.