5G RF module products continue to penetrate Zhuoshengwei's net profit in the first three quarters increased by 112.84%

 On October 21, Zhanshengwei released its third-quarter report stating that from July to September 2021, the company achieved operating income of 1.124 billion yuan, a year-on-year increase of 15.33%, and net profit attributable to shareholders of listed companies was 513 million yuan, a year-on-year increase of 40.65%.

In the first three quarters of 2021, Zhuoshengwei achieved operating income of 3.484 billion yuan, a year-on-year increase of 76.61%, and net profit attributable to shareholders of listed companies was 1.527 billion yuan, a year-on-year increase of 112.84%.

Zhuoshengwei said that the company's sales revenue in the first three quarters of 2021 increased compared with the same period last year, and the net profit attributable to shareholders of listed companies increased accordingly. The main reason is that the company's RF module products continue to penetrate terminal customers, benefiting from the development of 5G communication technology and the company's forward-looking product layout.

It is understood that when Zhuoshengwei was first established, its main business was digital TV transceiver chips, and later it transformed into making RF chips for mobile phones. Now it has been deeply involved in the RF front-end field for more than ten years and is one of the few domestic RF device providers that can match the international leading companies. It has fully deployed 5G RF front-end products.

When Zhuoshengwei went public in 2019, it was the first year of 5G implementation. 5G became one of the reasons supporting the strong rise of Zhuoshengwei's stock price. In June 2019, Zhuoshengwei landed on the ChiNext, with an initial issue price of only 35.29 yuan. On June 9 this year, its market value exceeded 150 billion yuan, making it the veritable "first RF stock" in the A-share market.

5G communication technology has driven the rapid growth of RF front-end market demand, and Zhuoshengwei's products continue to penetrate. From 4G to 5G, RF is developing towards modularization and high integration. While maintaining the competitive advantage of RF discrete devices, Zhuoshengwei continues to promote the marketization of RF module products. In addition, under the background of global chip shortage and domestic substitution, the marketization driving force brought by domestic substitution is obvious, and domestic companies have gained more import opportunities due to "chip shortage".