Dayin’s third-quarter EPS hit a new high of 2.14 yuan, with no plans to slow down AI-related customers

Dayin Chairman Zhuo Xiuyu (left). (Photo by reporter Lin Jinghua)

[Reporter Lin Jinghua/Taipei Report] Dayin Microsystems (4576) held an online press conference this afternoon (11th). The third quarter financial report was eye-catching, with earnings per share of 2.14 yuan, a record high. Dayin Chairman Zhuo Xiuyu pointed out that he has a positive view on maintaining a high level of 40% in gross profit margin in the fourth quarter and next year. At present, the visibility of the high-end positioning platform has reached 6 months, and related orders are scheduled to mid-2027. As for the visibility of components, it also has 3 months.

Dayin's gross profit margin reached 42.4% in the third quarter, and its net profit after tax was 257 million yuan, an annual increase of 257% and a quarterly increase of 123%. The earnings per share was 2.14 yuan, a record high; in the first three quarters, the cumulative earnings per share was 4.06 yuan. Zhuo Xiuyu pointed out that the company continues to focus on the demand for precision, speed and stability in the advanced manufacturing field, and grasps the growth opportunities brought by technological upgrades in the semiconductor industry. Semiconductors have become an important layout direction. With the continuous development of technologies such as AI, advanced packaging and CPO, equipment requirements for precision and process capabilities continue to increase, and related applications are also key markets that Dayin is actively investing in.

Dayin spokesperson Cai Hongyi explained that in terms of product mix, high-end stage products with highly customized designs and software and hardware integration grew by 32% quarterly and 101% year-on-year, pushing up gross profit margin by more than 40%. In terms of the self-made rate of key components, Dayin has a high degree of vertical integration and the self-made rate of key components such as controllers, drives and motors exceeds 85% on average. It can provide one-stop services to ensure cost advantages.

Zhuo Xiuyu explained that Dayin components currently account for 40% of revenue, while high-end positioning platforms account for 60%. Although the gross profit margin of components is lower than that of high-end positioning platforms, components have features such as standardization, automation, and mass production, and the economies of scale are more obvious. The potential market is ten times that of high-end platforms. High-end platforms are an important basis for maintaining high gross profit margins, but components are to expand revenue scale. The two complement each other. In the future, Dayin aims to increase the proportion of components in revenue to 45% or even 50%.

Dai Yin Executive Vice President You Kaisheng mentioned that after the U.S. midterm election, the outside world had concerns about the slowdown in AI investment. However, Dai Yin continued to confirm orders with customers in Taiwan, the United States and other countries. Customer feedback was that there were no changes in previous plans and new projects, and the Forecast has not changed. The company will pay close attention to the follow-up and will explain to the public if there is any situation. In addition, the capital expenditure part has been increased to about 120 million yuan to 150 million yuan in response to strong market demand and expansion plans for semiconductors and positioning platforms.