The tenfold rise of stocks, The King Has Risen...

Mass production of the FY24Q2 only began, and 1,000 units are expected to be delivered this year...

Since the largest customer (the world's leading optical module market share and has contributed more than 50% of the company's turnover in the past few years) began moving production lines from China to Malaysia last year, the company's revenue fell sharply. However, the transfer process is nearing completion. It is estimated that production will be fully resumed at the end of this season, and part of the business that the Chinese foundry was previously responsible for will also be handed over to the company for production.

Optical modules are important devices in data centers. They can convert data from electrical signals to optical signals for fast transmission over optical fiber. Since many servers in the data center need to transfer data to each other to complete various high-performance computational tasks, a large number of optical modules are needed to help them transfer information quickly and efficiently.

Note: IIVi acquired Finisar in 2019, then bought Coherent in 2022 before changing its name.

Due to the shortage of major ASIC chips, production was limited and only part of the order could be delivered, but production is already recovering. Although it seems to only contribute 10% of the turnover, since this business is on a consignment basis, the gross profit is very high.

Bitcoin's halving mechanism occurs every four years (most recently in April of this year), which means that the Bitcoin rewards miners receive will be cut in half. This mechanism has a great impact on the demand for mining machines, because after the halving, miners get less revenue, which makes mining more difficult and competitive. To maintain profits, miners need to use more efficient mining machines to solve problems. As a result, demand for new, high-performance mining machines with lower energy consumption will increase.