External broker reports(aggregated public sources), CMB International

CMB International

External broker reports(aggregated public sources)

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

Equity Bottom-Up

Zhejiang Jingsheng Mechanical & Electr / Equity Bottom-Up

<ul><li>Zhejiang Jingsheng (JSG)’s net profit in 1H23 surged 83% YoY to RMB2.2bn, in line with the pre-announced profit released in mid-Jul.</li><li>Net profit in 2Q23 grew 73% YoY to RMB1.3bn, a record high.</li><li>As of end-Jun 23, total backlog reached RMB27.8bn (solar/semiconductor: 88%/12%), which continues to offer visibility over the coming 18 months. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Zhejiang Jingsheng (JSG)’s net profit in 1H23 surged 83% YoY to RMB2.2bn, in line with the pre-announced profit released in mid-Jul.Net profit in 2Q23 grew 73% YoY to RMB1.3bn, a record high.As of end-Jun 23, total backlog reached RMB27.8bn (solar/semiconductor: 88%/12%), which continues to offer visibility over the coming 18 months. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Zhejiang Jingsheng (300316 CH) – 2Q23 Net Profit +73% YoY in Line

<ul><li>Zhejiang Jingsheng (JSG) preannounced over the weekend that net profit in 1Q23 is expected to surge 81-103% YoY to RMB800-900mn, which is better than expectation.</li><li>We believe this was likely driven by strong growth of crucibles revenue and margin, as well as faster-than-expected equipment delivery.</li><li>We revise up our earnings forecast in 2023E/24E/25E by 11%/10%/7%. We revise up our TP to RMB106, based on 32x 2023E P/E, on the back of 32% earnings CAGR in 2023E-24E. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Zhejiang Jingsheng (JSG) preannounced over the weekend that net profit in 1Q23 is expected to surge 81-103% YoY to RMB800-900mn, which is better than expectation.We believe this was likely driven by strong growth of crucibles revenue and margin, as well as faster-than-expected equipment delivery.We revise up our earnings forecast in 2023E/24E/25E by 11%/10%/7%. We revise up our TP to RMB106, based on 32x 2023E P/E, on the back of 32% earnings CAGR in 2023E-24E. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Zhejiang Jingsheng (300316 CH) – 1Q23E Profit Beat Expectations

<ul><li>Zhejiang Jingsheng (JSG)’s net profit in 2022 surged 71% YoY to RMB2.9bn, in line with the pre-announced profit released in mid-Mar.</li><li>Net profit in 4Q22 grew 52% YoY to RMB915mn. As of end-2022, total backlog reached RMB25.4bn (solar/semiconductor: 87%/13%).</li><li>We estimate this offers good visibility over the coming 18 months.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Zhejiang Jingsheng (JSG)’s net profit in 2022 surged 71% YoY to RMB2.9bn, in line with the pre-announced profit released in mid-Mar.Net profit in 4Q22 grew 52% YoY to RMB915mn. As of end-2022, total backlog reached RMB25.4bn (solar/semiconductor: 87%/13%).We estimate this offers good visibility over the coming 18 months.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Zhejiang Jingsheng (300316 CH) – Raise estimates on strong materials segment

Thematic (Sector/Industry)

<ul><li>In our last report dated 17 October, we highlighted a list of 21 long ideas.</li><li>The basket (equal weighted) of these 21 stocks underperformed MSCI China index by 5.4ppt, delivering 0.2% return (vs MSCI China 5.6%).</li><li>China Meidong Auto and Innovent Biologics delivered over 20% of return, and 4 of our 21 long ideas outperformed the benchmark.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

In our last report dated 17 October, we highlighted a list of 21 long ideas.The basket (equal weighted) of these 21 stocks underperformed MSCI China index by 5.4ppt, delivering 0.2% return (vs MSCI China 5.6%).China Meidong Auto and Innovent Biologics delivered over 20% of return, and 4 of our 21 long ideas outperformed the benchmark.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

CMBI Research Focus List (November Edition) – Our best high conviction stock ideas

<ul><li>Zhejiang Jingsheng (JSG)’s net profit in 1H22 doubled YoY to RMB1.2bn, close to the high-end of the range stated in the pre-announced profit in Jul. </li><li>Net profit in 2Q22 surged 1.4x YoY to RMB765mn, implying an acceleration from 57% growth in 1Q22. </li><li>Besides, operating cash flow sharply improved from -RMB744mn in 1Q22 to +RMB691mn in 2Q22.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Zhejiang Jingsheng (JSG)’s net profit in 1H22 doubled YoY to RMB1.2bn, close to the high-end of the range stated in the pre-announced profit in Jul. Net profit in 2Q22 surged 1.4x YoY to RMB765mn, implying an acceleration from 57% growth in 1Q22. Besides, operating cash flow sharply improved from -RMB744mn in 1Q22 to +RMB691mn in 2Q22.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Zhejiang Jingsheng (300316 CH) – 2Q22 Profit +1.4x YoY with Strong Cash Flow

China

Zhejiang Jingsheng Mechanical & Electrical Company Limited develops, manufactures and sells crystalline silicon growth devices and its control systems. The Company's main products include fully automatic monocrystalline silicon growth furnaces, polysilicon ingot furnaces, monocrystalline silicon growth furnace control systems.

Zhejiang Jingsheng Mechanical & Electr (300316 CH)

Zhejiang Jingsheng Mechanical & Electr (300316 CH)

Zhejiang Jingsheng (300316 CH) – 2Q23 Net Profit +73% YoY in Line

Zhejiang Jingsheng (JSG)’s net profit in 1H23 surged 83% YoY to RMB2.2bn, in line with the pre-announced profit released in mid-Jul.

CMB International

Zhejiang Jingsheng (300316 CH) – 1Q23E Profit Beat Expectations

Zhejiang Jingsheng (JSG) preannounced over the weekend that net profit in 1Q23 is expected to surge 81-103% YoY to RMB800-900mn, which is better...

CMB International

Zhejiang Jingsheng (300316 CH) – Raise estimates on strong materials segment

Zhejiang Jingsheng (JSG)’s net profit in 2022 surged 71% YoY to RMB2.9bn, in line with the pre-announced profit released in mid-Mar.

CMB International

CMBI Research Focus List (November Edition) – Our best high conviction stock ideas

In our last report dated 17 October, we highlighted a list of 21 long ideas.The basket (equal weighted) of these 21 stocks underperformed MSCI...

CMB International

Zhejiang Jingsheng (300316 CH) – 2Q22 Profit +1.4x YoY with Strong Cash Flow

Zhejiang Jingsheng (JSG)’s net profit in 1H22 doubled YoY to RMB1.2bn, close to the high-end of the range stated in the pre-announced profit in Jul.

CMB International