Dingtai High-Tech (301377): In-Depth Analysis of 2025 Earnings Growth Surpassing Market Expectations

I have now collected sufficient information, let me conduct a systematic and comprehensive analysis for you.

---

According to the 2025 annual performance forecast released by Dingtai High-Tech on January 5, 2026, the company expects to achieve a net profit attributable to shareholders of listed companies of

, representing a substantial year-on-year increase of [1][2]. Its non-recurring profit and loss excluded net profit shows an even stronger performance, with an expected year-on-year growth of [1][2]. This growth rate leads among A-share manufacturing enterprises, significantly surpassing market expectations.

The primary driver of Dingtai High-Tech’s earnings growth is the

[1][2]. With the accelerated global digital transformation and rapid development of artificial intelligence technology, the demand for high-performance computing infrastructure has shown explosive growth. As the core carrier of computing power, data centers continue to expand their construction scale, directly driving the market demand for high-end PCBs (Printed Circuit Boards)[3][4].

High-end PCBs are key components of servers and data center equipment, and the substantial increase in their demand is directly transmitted to the upstream market for consumables such as precision cutting tools and polishing materials. As a domestic leader in the PCB cutting tool industry, Dingtai High-Tech has fully benefited from this industry prosperity improvement[1].

Industry research shows that PCB substrate materials are undergoing an accelerated evolution from M7 and M8 to

[5]. This material upgrade brings two direct impacts:

• Drill bit service life is drastically shortened
  : Under M7 material conditions, a single drill bit can drill about 1,000 holes; under M8 conditions, this drops to 300-500 holes; while under M9 conditions, it can only maintain more than 100 holes[5]. This means that the replacement frequency of drill bits required per unit of PCB production has multiplied, leading to a
  magnitude-level increase
  in consumable demand.

• Drill bit value is significantly increased
  : As PCBs develop towards multi-layer and high-density structures, with increased board thickness and reduced hole diameters, the
  aspect ratio of drill bits has risen significantly
  [5]. A drill bit with a common aspect ratio costs about RMB 1, while high-end products with an aspect ratio of over 20 times can cost several yuan to more than ten yuan, achieving a
  ten-fold value jump
  [5].

This industry pattern of “simultaneous increase in volume and price” provides significant earnings elasticity for Dingtai High-Tech.

The global PCB drill bit market presents a

competitive pattern, with only four major enterprises currently[5]:

Enterprise	Region
Dingtai High-Tech	Mainland China
Zhongwu Hi-Tech (Jingzhou)	Mainland China
Acu-Point	Taiwan, China
UNION TOOL	Japan

Among them, the combined market share of Dingtai High-Tech and Jingzhou Company under Zhongwu Hi-Tech has

, and the share continues to rise[5]. Dingtai High-Tech’s core competitive advantages are reflected in:

• Independent R&D equipment capability
  : The company independently develops grooving and grinding equipment, breaking away from dependence on imported Swiss equipment, and has the strongest
  production capacity expansion flexibility
  [5];
• Technological leadership
  : Accumulated profound process know-how in the high-end drill bit field;
• Cost advantage
  : Independent R&D equipment has significantly reduced capital expenditure and depreciation costs.

Dingtai High-Tech clearly stated in the announcement that the company

, effectively improving overall profitability[1][2]. This statement confirms the company’s efforts in product upgrading:

• Shift production capacity to high-value-added products, increasing the sales proportion of high-end drill bits and polishing materials;
• Seize the product structure upgrading opportunities brought by the M9 material upgrade, improving the value per unit product;
• Benefiting from
  strong price pass-through capability
  against the background of rising tungsten prices, drill bit products have room for price increases[5].

From a macro perspective, 2025 A-share performance forecasts show that the four industries of

have a large number of companies with expected earnings growth, reflecting relatively stable prosperity in these fields[4]. The electronics industry is one of the sectors with the most concentrated positive earnings forecasts, and Luxshare Precision, a leader in consumer electronics, expects its 2025 net profit attributable to parent company shareholders to grow 23.59%-28.59% year-on-year[4].

Goldman Sachs stated in its latest research report that it

, and gave an “overweight” recommendation on Chinese equities for 2026[6]. The rapid development of the AI industry continues to drive demand for high-performance computing equipment, providing long-term growth momentum for the PCB and upstream consumables market.

1. Stable industry leading position
   : With a market share of over 50%, it has significant scale advantages and technological barriers;
2. Sufficient production expansion flexibility
   : Independent R&D equipment capability enables it to quickly respond to market demand growth;
3. Product structure upgrading
   : The increase in the proportion of high-end products is expected to continuously improve gross profit margin;
4. Sustained downstream prosperity
   : AI and data center construction will provide long-term demand support for the PCB industry.

1. Macroeconomic fluctuations
   : The construction pace of downstream servers and data centers may be affected by macroeconomic conditions;
2. Raw material price fluctuations
   : Fluctuations in prices of raw materials such as tungsten may affect the cost side;
3. Technology iteration risk
   : Rapid changes in PCB materials and process technologies may affect product competitiveness;
4. Intensified industry competition
   : It is necessary to continuously track the production expansion strategies of competitors.

Dingtai High-Tech’s 2025 expected net profit growth of 80%-102%, which surpasses market expectations, is the result of the combined effect of

and . Against the industry background of continuous expansion of demand for servers and data centers, coupled with the upgrade of PCB materials to M9, the company, as a domestic leader in PCB cutting tools, has achieved high-speed earnings growth relying on the production capacity flexibility of independently R&D equipment, product structure optimization, and continuous market share concentration.

Looking ahead, with the continuous development of the AI industry and the expansion of high-performance computing demand, the PCB industry chain is expected to maintain high prosperity, and Dingtai High-Tech, as an industry leader, is expected to continue benefiting from this trend.

---

[1] Securities Times Network - Multiple A-share Companies Expect Substantial 2025 Net Profit Growth (https://www.stcn.com/article/detail/3572609.html)

[2] Securities Times Network - Positive News! Multiple A-share Companies Announce: Earnings Expected to Double! (https://www.stcn.com/article/detail/3572089.html)

[3] Economic Information Daily - Preliminary Performance Differentiation of Listed Companies Emerges (http://jjckb.xinhuanet.com/20260109/421658abfb0c45e187e560f3bd44f1c0/c.html)

[4] Shanghai Securities News - Over 40 A-share Companies Issue Positive 2025 Earnings Forecasts, Four Industries Show Operating Warmth (https://paper.cnstock.com/html/2026-01/06/content_2167147.htm)

[5] Sina Finance - Clear Trend of Solution Upgrade, Optimistic about High Elasticity of PCB Industry Chain (https://finance.sina.com.cn/roll/2025-12-24/doc-inhcwxmi9849013.shtml)

[6] Beijing Daily - Just Now, Sharp Rise! Chinese Equities Hit by Positive News! (https://news.bjd.com.cn/2026/01/06/11506517.shtml)

[7] People’s Financial News - Dingtai High-Tech: 2025 Net Profit Expected to Grow 80.72%-102.76% Year-on-Year (https://www.stcn.com/article/detail/3571658.html)