China Post Securities: First-time "buy" rating given to Zhongfu Circuit, with structural optimization driving double-digit revenue and profit growth.

The research report of China Post Securities pointed out that the structural optimization of Zhongfu Circuit drives double-digit growth in revenue and profit. The company achieved operating income of 1.879 billion yuan in 2025, a year-on-year increase of 29.24%; net profit attributable to the parent company was 29 million yuan. In the first quarter of 2026, the company's performance continued to show strong growth momentum, with operating income reaching 520 million yuan, a year-on-year increase of 37.81%; net profit attributable to the parent company was 19 million yuan, a year-on-year increase of 89.32%, with profit growth significantly higher than income growth. The company has high-quality and stable customer resources, and its overseas layout is accelerating; capacity and technology are both strong, seizing the AI opportunity. In the future, the company will adhere to the development path of "technological leadership and specialized applications", continue to deepen its presence in the AI power field, focus on breakthroughs in core chip packaging power technology, promote the research and development of new products such as high-frequency, high-speed, high-current, high-thermal conductivity core chips, inductors, magnetic materials, capacitors, etc., accelerate the introduction of next-generation optical modules, MEMS, AI power modules and other high-end scenarios, and layout in frontier areas such as robotics, sensors, and technology development, continuously injecting technological momentum into revenue growth and enriching product reserves. It is expected that the company will achieve revenues of 2.7 billion yuan, 3.7 billion yuan, and 4.9 billion yuan in 2026, 2027, and 2028 respectively, with net profits attributable to the parent company reaching 210 million yuan, 530 million yuan, and 870 million yuan. The company is rated for the first time with a "buy" rating.