Newly Listed Shares Outlook: Automotive PCB leader Shenzhen Kinwong Electronic (603228.SH) Goes to Hong Kong, Will AI Field Layout Support Second Growth Curve?

In recent years, the rapid development of AI technology is accelerating the reshaping of the electronic industry landscape. PCB, as a key hardware foundation for connecting chips, transferring signals, and supporting computing power, is the first to benefit from this technological dividend. In the field of cloud computing, the continuous rise in demand for AI large model training and inference is driving the accelerated construction of data infrastructure, leading to strong demand for high-performance PCB products with high speed, high multi-layer, and high-density interconnects. In the field of edge computing, areas such as automotive electronics, smart devices, and industrial control are accelerating towards deep integration with AI, further driving the market demand for high-end PCBs. GMTEight noted that recently, Shenzhen Kinwong Electronic (603228.SH), the world's largest automotive electronics PCB supplier, has resubmitted its application for listing on the Hong Kong Stock Exchange. Benefiting from the dual trends of electrification and intelligence, the per-vehicle usage and value of PCB have significantly increased in the past few years. Leveraging this industry opportunity, Shenzhen Kinwong Electronic has achieved continuous high-speed growth in revenue and profits. Data shows that by 2025, Shenzhen Kinwong Electronic's revenue reached 15.308 billion yuan, with a net profit of 1.244 billion yuan. Based on the revenue of that year, the company is the world's largest automotive electronics PCB supplier, with a market share of 10.6%. In addition, the explosive growth in AI computing power demand is injecting continuous new momentum into the PCB industry, and Shenzhen Kinwong Electronic, as a core supplier of AI servers and high-speed optical module PCBs, is also deeply benefiting from this trend. Following its initial submission to the Hong Kong Stock Exchange earlier this year, Shenzhen Kinwong Electronic is making a comeback this month. With global tech stocks investment sentiment remaining high, can the company achieve its dream of listing on the Hong Kong Stock Exchange and implementing an A+H dual listing strategy? With a solid foundation in automotive electronics, will AI-related orders contribute significantly to growth? Shenzhen Kinwong Electronic is not a new face in the capital market, having listed on the Shanghai Stock Exchange in 2017. In recent years, the company's performance has soared, driven by its position as a global leader in automotive electronics PCB and one of the few suppliers of AI computing infrastructure core components. From 2023 to 2025, the company's revenue was 10.757 billion yuan, 12.659 billion yuan, and 15.308 billion yuan, with a compound growth rate of about 19.4% during that period. Revenue further increased to 5.341 billion yuan in the first four months of 2026, a year-on-year growth of 17.8%. In terms of revenue volume, Shenzhen Kinwong Electronic ranks among the top-tier of the domestic PCB industry: based on 2025 revenue, it ranks eleventh among global PCB suppliers. Looking at the specific structure, Shenzhen Kinwong Electronic has excelled in high-end products and key application areas. According to the prospectus, in 2025, the revenue of the company's HDI PCB increased by 45.8% to 1.238 billion yuan, accounting for 8.1% of total revenue. In terms of end applications, the largest market for Shenzhen Kinwong Electronic's products has always been automotive electronics, with revenue from this market accounting for over 40% from 2023 to 2025. In addition to the automotive electronics business, another noteworthy aspect is the strong growth in revenue contributed by the communication and data infrastructure-related business over the past few years. In 2025, the revenue from this area was 1.591 billion yuan, a year-on-year increase of 70.7%, accounting for 10.4% of total revenue. As of 2026, the revenue from this sector in the first four months of this year reached 833 million yuan, with the corresponding revenue share increasing to 15.6%. Behind the significant increase in volume is the continuous injection of new energy into the PCB industry, with Shenzhen Kinwong Electronic benefiting deeply as a core supplier of AI server and high-speed optical module PCBs. While revenue continues to break through, Shenzhen Kinwong Electronic's profit performance is relatively lackluster. Data shows that from 2023 to 2025, the company's gross profit was 2.492 billion yuan, 2.878 billion yuan, and 3.305 billion yuan, with gross profit margins of 23.2%, 22.7%, and 21.6%, respectively. However, profitability has not strengthened. In the first four months of 2026, the company reported a gross profit of 1.001 billion yuan, with a gross profit margin of 18.7%, a decrease of 2 percentage points year-on-year. Looking at the net profit indicators, from 2023 to 2025, Shenzhen Kinwong Electronic's net profits were 911 million yuan, 1.16 billion yuan, and 1.244 billion yuan, with the profit growth rate significantly slowing down in 2025. In the first four months of this year, Shenzhen Kinwong Electronic's net profit was 317 million yuan, a decrease of more than 20% year-on-year. The "1+1+N" strategy drives long-term growth? Despite the short-term pressure on profits, this does not seem to dampen market enthusiasm for investing in Shenzhen Kinwong Electronic. In addition to the overall high prosperity of the PCB industry, the company's "1+1+N" strategic planning may also be an important reason for this market interest. This strategy is crucial for Shenzhen Kinwong Electronic to maintain its automotive basic plate and transform AI business from concept to revenue, transitioning from a global automotive PCB leader to a "AI+ Automotive" dual-engine driver. The "1+1+N" strategy consists of one pillar business (automotive electronics), one key development business (communication and data infrastructure), and a combination of N high-potential business (smart terminals, industrial control, etc.). The core logic of this strategy is clear: to stabilize revenue and profit with automotive electronics as the basic plate, to open up a second growth curve in the AI-related business to reach a higher valuation ceiling, and to diversify terminal market layouts to mitigate risks arising from a single industry cycle. Automotive electronics, as the absolute basic plate of Shenzhen Kinwong Electronic, currently has eight of the top ten Tier1 automotive suppliers in the world as the company's customers, with products covering the top ten automotive groups globally. On the technological level, the company has begun mass production of laser radar boards, fifth/sixth-generation millimeter-wave radar boards, 400V/800V high-voltage platform PCBs, and has the manufacturing capability for seventh-generation millimeter-wave radar boards. As advanced intelligent driving functions quickly penetrate, domain controllers increase their penetration rate, and 800V high-voltage platforms become more widespread, Shenzhen Kinwong Electronic will significantly enhance its competitiveness and market share in the fields of automotive electrification and intelligence. Looking at the second "1", communication and data infrastructure, which is the AI-related business. This is the core narrative for the market to give Shenzhen Kinwong Electronic a premium valuation. The company has already begun mass production of high-end products such as HLC with more than 40 layers, 6-layer 22-layer HDI, mSAP technology 14-layer HDI, and multi-layer PTFE FPC; the 9-layer HDI passed customer certification in just 90 days. According to Shenzhen Kinwong Electronic, in the high-speed network communication field, the company has been steadily supplying 800G optical module products to several leading optical module customers and actively promoting the shipment of 1.6T optical modules. In summary, the growth logic of Shenzhen Kinwong Electronic is clear: the automotive basic plate provides a solid foundation for performance, while the volume of AI-related business opens up room for medium to long-term growth. However, the realization of this logic will require time to verify: how long will the pressure on profits last, the efficiency of climbing the high-end capacity, and the actual pace of AI order deployment will directly affect whether the market's optimistic expectations can real profit growth. For Shenzhen Kinwong Electronic, aiming to achieve an A+H dual listing, the company still needs to prove to the market that its future growth performance can support the high expectations of the market.