On November 25, the STAR Daily reported (journalist Chen Junqing) that "the company has achieved rapid growth in the fields of intelligent energy, automotive electronics, and general products, with the net income for the first three quarters exceeding last year's total. The full-year revenue and profit are expected to achieve better results." This was stated by Chairman and General Manager Ruan Chanjie in response to a question from a STAR Daily reporter at today's earnings conference.

Nanchip Technology is a company specializing in analog and embedded chip design, focusing on the power supply and battery management sectors. According to Ruan Chanjie during the earnings conference, approximately 70% of the company’s revenue in the third quarter came from mobile devices, while smart energy, general products, and automotive electronics together accounted for about 30% of the revenue. He noted that all these business areas achieved rapid growth in the first three quarters, with revenue proportions improved compared to last year's total.

Regarding the specific performance of various businesses, Ruan Chanjie told STAR Daily reporters that in the mobile device sector, which has the highest revenue proportion, the business scale of the charging management product line continues to grow steadily, relying on the effective execution of an end-to-end strategy, and remains dominant in the mobile device business. The scale of DCDC, switch charging, and wireless charging chip businesses continues to increase, with BMS and Display Power product lines making key breakthroughs and strong growth momentum, leading to expectations for continued rapid business scale improvement in the future.

In the field of intelligent energy, "the company has seen significant growth in inbox business volume compared to last year, and the POWERQUARK fully integrated solution launched by the company has also accelerated penetration in customer businesses this year. With an increase in the product's penetration rate in the future, it is expected to further enhance the company’s competitiveness in this field," said Ruan Chanjie.

In the field of automotive electronics, Ruan Chanjie stated at the earnings conference that Nanchip Technology's automotive electronics business has seen rapid growth this year, and with the continuous development of new products and new businesses, the company is expected to continue to engage more customers and maintain strong growth momentum in the future.

Ruan Chanjie further added that the company is currently mainly focused on in-vehicle charging, intelligent cockpits, body control, and ADAS in the automotive sector. This year, Nanchip Technology has successively launched automotive-grade iterative products, including high-performance automotive-grade LDO chips, automotive-grade electronic fuses, automotive-grade 8-channel half-bridge drivers, automotive-grade DC-DC converters, and automotive-grade camera module power management chips.

In terms of performance, for the first three quarters of 2024, Nanchip Technology's revenue was 1.899 billion yuan, an increase of 57.49% year-on-year; the net income attributable to the parent company was 0.272 billion yuan, a year-on-year increase of 50.82%. However, looking at Q3 alone, Nanchip Technology's revenue was 0.649 billion yuan, a year-on-year increase of 19.0%, maintaining positive growth, but with a noticeable decline in growth rate. In this quarter, the net income attributable to the parent company was 66.6302 million yuan, a year-on-year decrease of 16.27%.

Regarding the decline in quarterly profitability, Ruan Chenjie stated at the earnings conference that as the company continues to expand its operations, the scale of recruitment in the third quarter has increased significantly, which has led to a considerable rise in research and development expenses, affecting the net income for that quarter.

The financial report shows that in Q3, Nanjing Semiconductor Technology's research and development expenses were 0.117 billion yuan, an increase of 25.54% quarter-on-quarter and a substantial growth of 52.99% year-on-year. Regarding the direction of research and development investment, Nanjing Semiconductor Technology stated in the research summary on November 1 that the company is currently in a phase of continuous expansion in operation scale and diversification of product layout, with ongoing strengthening of investments primarily in the consumer, autos, and industrial sectors.