Ticker symbol "688153"! Weijie Chuangxin, a leading enterprise in the field of RF front-end, officially landed on the Science and Technology Innovation Board

Jiwei Network news, on April 12, the leading enterprise in the field of rfy front-end Weijie Chuangxin was officially listed on the Science and Technology Innovation Board of the Shanghai Stock Exchange, the company's securities code is 688153, the issue price is 66.6 yuan / share, and the issued market value is 26.645 billion yuan.

According to the prospectus, Weijie Chuangxin is an integrated circuit design enterprise focusing on the research and development, design and sales of RF front-end chips, mainly providing customers with INTEGRATED circuit products such as RF power amplifier modules, RF switch chips, Wi-Fi RF front-end modules and receiver modules, which are widely used in various terminal products with wireless communication functions such as smart phones, tablet computers, wireless routers, and smart wearable devices.

Focus on high-quality products! The shipment of 4G RF power amplifier products ranks first in China

As we all know, the RF front end is one of the core modules of wireless communication equipment, but it is also a short board in the Chinese mobile phone industry chain.

Founded in June 2010, Weijie Chuangxin is one of the earliest batch of integrated circuit design enterprises engaged in the research and development, design and sales of RF front-end discrete devices and modules in China, Weijie Chuangxin from 2G RF power amplifier chips into the FIELD of RF front-end, focusing on high-quality products, and constantly providing customers with high-performance RF front-end chip product solutions.

It is understood that the RF power amplifier module is the core component of the RF front-end signal transmission system, and its performance directly determines the communication quality and equipment energy consumption experience of the user when using the wireless terminal equipment, and its importance is self-evident.

However, there are also high technical barriers to RF power amplifiers, which are known as the "crown jewels" in the field of analog chips.

Industry insiders said that the difficulty of RF power amplifier modules is not only reflected in the various challenges of R & D and design, but also tests the comprehensive capabilities of related enterprises in terms of communication technology and standard evolution, product iteration speed, module highly integrated design, packaging and testing engineering solutions, supply chain and quality management, etc., which require years of talent team building and industrial accumulation.

It is worth mentioning that after more than ten years of technical research, Weijie Chuangxin has mature 2G to 5G RF power amplifier module products, and has become one of the domestic high-quality suppliers in the field of smart phone RF front-end power amplifiers.

With product performance comparable to that of leading manufacturers outside the United States and high reliability verified by the mass production of a variety of mobile terminal models, Weijie Chuangxin has also become one of the earliest domestic enterprises that have passed the strict RF device supplier certification of mainstream mobile phone brand manufacturers such as Xiaomi, OPPO, vivo, and realized the large-scale supply of products.

During the reporting period, the cumulative shipment of 4G RF power amplifier modules exceeded 1.2 billion units, and the cumulative shipment of 5G RF power amplifier modules exceeded 100 million. According to the "China Chip Design Enterprise List 2020" released by CB Insights, the shipment volume of 4G RF power amplifier products of Weijie Chuangxin ranks first among domestic manufacturers.

Rapid revenue growth, committed to becoming a world-class RF integrated circuit enterprises

At this stage, the 5G era has arrived, and whether it can seize the opportunity of commercial landing of 5G is crucial for RF front-end manufacturers. As a member of China Mobile's 5G terminal pioneer industry alliance, Weijie Chuangxin is actively cooperating with operators to provide support for the commercial landing of 5G.

Based on the forward-looking layout of cutting-edge technologies and markets, Weijie Chuangxin launched 5G PA modules in the first year of 5G commercial use in mainland China (2019), and achieved large-scale mass production and sales in 2020, and further rapidly increased the proportion of sales of 5G-related products in 2021.

Obviously, Weijie Chuangxin has become the backbone of the mainland's RF field, witnessing the rapid development of the mainland's mobile communication technology from 2G to 5G.

With the breakthrough of Weijie Chuangxin in technology, customers, markets and other aspects, the company's development scale and performance level have also been greatly improved. During the period from 2018 to 2021, the compound growth rate of Weijie Chuangxin's operating income exceeded 200%, and its operating income exceeded 3.5 billion yuan in 2021.

According to the latest announcement, from January to March 2022, Weijie Chuangxin is expected to achieve an operating income range of 850 million yuan to 950 million yuan, an increase of 1% to 13% year-on-year; the net profit attributable to the shareholders of the parent company is 36 million yuan to 86 million yuan, and the net profit attributable to the shareholders of the parent company after deducting non-recurring gains and losses is 35 million yuan to 85 million yuan, which is a turnaround compared with the same period in 2021, and the ability to continue to operate is further improved.

According to Yole Development's forecast, the global mobile RF front-end market is expected to reach $25.4 billion by 2025, of which the RF power amplifier module market size is expected to reach $8.931 billion.

Obviously, as a leader in the RF front-end industry, Weijie Chuangxin will also fully benefit from this.

In order to consolidate its industry position and technical advantages, Weijie Chuangxin intends to raise funds of 2.487 billion yuan in public offering, mainly for three projects such as integrated circuit production and testing, R&D center construction and supplementary working capital.

The test technology of the RF front end has always been a key link restricting the mass product quality stability and product development iteration of the 5G RF front end. The implementation of the integrated circuit production and testing project will help Weijie Chuangxin to further extend the industrial chain, consolidate the technical barriers of professional and refined RF testing solutions, improve the quality level and production efficiency of its own RF front-end products, and strengthen the independent control of test production capacity.

The implementation of the R&D center construction project provides capital guarantee for Weijie Chuangxin to further cultivate and introduce high-quality integrated circuit industry talents, and provides all-round support for the performance upgrade of existing PA modules, Wi-Fi RF front-end modules, RF switches and receiver module products, as well as the expansion or pre-research of products in the field of communication small base stations, millimeter wave, and medical/vehicle-based products.

Regarding the future development strategy, Weijie Chuangxin said that since its establishment, the company has always focused on the field of radio frequency, through years of technical accumulation, experience precipitation and talent training, the pursuit of ultimate performance on the product side, focus on customer needs on the client side, and continuously expand application scenarios on the market side. The company's vision is to make first-class products and become a world-class RF integrated circuit enterprise.