The consumer electronics sector is currently undergoing an AI-driven intelligent transformation. With the increasing maturity of large language model technologies both domestically and internationally, AI phones, AI notebooks, and AR devices are experiencing explosive growth, leading to a surge in demand for high-precision, miniaturized, and multi-functionally integrated precision components. Against this backdrop, Luxshare Precision, leveraging its technological expertise in acoustics, optics, and electronics, along with its vertical integration advantages, has become one of the very few suppliers capable of providing complete AI terminal solutions.
Growth in consumer electronics remains robust. As a leading enterprise in China's precision manufacturing sector, Luxshare Precision disclosed its fiscal year 2025 earnings forecast as early as late October. The company anticipates net profit attributable to shareholders of 16.52 billion to 17.19 billion yuan, representing a year-on-year increase of 23.6% to 28.6%. Adjusted net profit is projected to be between 13.84 billion and 14.81 billion yuan, marking an increase of 18.36% to 26.64%.
Following the acquisitions of assets from Leoni and the ODM/OEM assets from Wingtech, Luxshare Precision is actively implementing measures such as vertical integration, resource sharing, smart manufacturing empowerment, and operational system optimization to drive improvements in its business performance.
Taking consumer electronics as an example, the industry has formally entered a new innovation cycle powered by AI. Luxshare Precision, through its deep collaboration with major clients, has successfully onboarded multiple new product projects. It continues to deepen cooperation with customers in emerging fields like AR/VR, consumer-grade 3D printing, and robotics. The integration of the Wingtech business is progressing smoothly, with the company achieving breakthroughs across the entire ODM and OEM chain. Vertically, it has accomplished integration from "components → modules → complete products," while horizontally it is advancing customer business expansion.
Luxshare Precision stated that the company started with precision components and gradually achieved extensive business coverage and a high degree of vertical integration. Through its global R&D and production footprint and the coordination of its group technology committee, it has successfully promoted numerous cross-industry technology integrations. Currently, one of the company's core strategies is to drive synergistic growth between its ODM and OEM businesses. OEM smart manufacturing forms the scalable production foundation, while the integration of ODM capabilities deepens the understanding of products, enabling the company to reconfigure the value chain and challenge process limits to maximize manufacturing value. These two aspects mutually reinforce each other, creating a significant catalytic effect that not only shortens product development cycles and helps customers quickly realize their ideas but also, in turn, enhances process upgrades in the OEM business. This dual-drive model is a powerful guarantee for the company to provide customers with top-tier quality and delivery services.
AI computing power unlocks new growth potential. Beyond its core consumer electronics business, Luxshare Precision is also experiencing rapid development in its communication & data center business and automotive business segments, accelerating the release of new momentum.
Benefiting from the global explosion in generative AI applications, AI server and data center infrastructure construction is entering a phase of rapid expansion. Market demand for high-speed photoelectric interconnection, thermal management, and power supply solutions is extremely strong. Leveraging its vertical integration capabilities in high-speed interconnection technology, photoelectric technology, and thermal management, Luxshare Precision has successfully positioned itself at key nodes of industry technological upgrades. Its related products have achieved significant breakthroughs in commercial cooperation with cloud service providers and equipment manufacturers both in China and overseas, steadily increasing its market share and helping this business segment become a powerful engine for the company's growth.
With the dawn of the "vehicle-road-cloud" era, the rapid deployment of autonomous driving projects globally, and the increasingly rich entertainment experiences in smart cockpits, massive information exchange is driving demand for high-speed in-cabin and external connectivity in intelligent vehicles. The proportion of electronic and electrical components per vehicle is rising rapidly. Starting from cable connectors, Luxshare Precision has now developed a diversified product matrix including automotive wiring harnesses, connectors, smart cockpits, and intelligent driving solutions. It has established a solid foundation in the domestic mainstream brand customer market and has entered a phase of rapid volume expansion.
Hua'an Securities analysis indicates that through deep cooperation with renowned domestic and international OEMs, coupled with deep integration and resource sharing with the Leoni Group, Luxshare Precision's automotive business continues to optimize its customer structure. Product orders are steadily climbing, positioning this segment as a strong driver for the company's future development and demonstrating substantial growth potential.