News Alert : Aug shipment missed the management guidance
- Aug 22 handset lens sets shipment declined 26.2% y-o-y, missing the management guidance of a 15.0% decline in 2022
- Modules shipment dropped 30.0% y-o-y, due to prolonged weakness in android smartphone
- Expect short-term share price pressure
What’s New
– Sunny Optical (2382 HK) announced its Aug 22 shipment volume last Friday after market close.
– Yearly decline of handset lens sets shipment in Aug 22 came in at 26.2%, fell behind the management guidance of a 15.0% decline in 2022 because of the continued weak demand for android phones.
– Modules shipment dropped 30.0% y-o-y, continuing the decline because of the persisting global weak smartphone demand.
– Vehicle lens sets shipment continue the growth and increased 29.0% y-o-y due to the low base last year due to supply chain constraints.
– Optical instruments shipment surged 113.4% y-o-y but still remains in a very limited scale.
Our View:
– We expect short-term share price pressure as the Aug shipment fell behind the guidance.
– We expect the continuous penetration into Apple’s value chain will support Sunny optical in surpassing its peers which focus on android models in 1H22’s shipment.
– We maintain BUY on an expected stronger-than-peers handset lens sets shipment in 2H because of penetration to new iPhone models.