Yongding Co., Ltd. (600105): Announces Major Order for Optical Chips

English summary

Optical chip side: On the evening of July 29, the company announced a major order. Its controlling subsidiary Dingxin Optoelectronics has secured large-power laser chip purchase orders from two major customers in the past month, with total order value of approximately RMB 1.133B. Downstream demand remains robust, which is expected to boost the company's 2026 and 2027 performance. Specifically: Customer A: RMB 542M (tax included); Customer B: USD 87M (approximately RMB 591M). Optical fiber side: The company continues to promote high-performance fiber R&D and market expansion, constantly improving its product technology matrix; in addition, its MPO patch cord business is progressing smoothly. High-temperature superconducting side: The company's subsidiary Eastern Superconducting is deeply engaged in R&D of second-generation high-temperature superconducting tape (REBCO) and supporting application products. Products have been applied in areas such as controllable nuclear fusion magnets and superconducting induction heating. With the '15th Five-Year Plan' including controllable nuclear fusion as a key layout, industry prosperity is expected to continue rising. Risk warnings: R&D progress may fall short of expectations, downstream demand fluctuations, intensified market competition, and capacity release may fall short of expectations.