## Shengda Technology Surges to 628 Yuan Peak, LEO Satellite Business Growth Drives Fundamental Strengthening

Market confidence in Shengda Technology (3491) is clearly warming up. This communication satellite component manufacturer's stock price has repeatedly hit new highs recently, continuing to rise after breaking 600 yuan last week, closing at 628 yuan today. The core driver of the stock price surge is the company's performance in the LEO satellite sector.

## Monthly Profit Hits New High, November Operations Surge

Shengda Technology released its self-reported November results today with impressive performance. Monthly revenue reached 285 million yuan, refreshing historical records with a year-over-year increase of 48%; after-tax net profit of 86 million yuan, translating to earnings per share of 1.3 yuan, up 13% compared to the same period last year.

Compared to Q3 revenue of 484 million yuan and net profit of 88 million yuan, November's monthly operations show clear momentum. Cumulative revenue for the first 11 months of this year reached 2.132 billion yuan, up 1.34% year-over-year, simultaneously creating a new all-time high for the same period. Cumulative after-tax net profit for the first three quarters was 303 million yuan with earnings per share of 4.6 yuan, showing slight adjustment compared to the same period last year, but still maintaining the second-best level for the period.

## LEO Satellite Orders Explode, Revenue Proportion Exceeds 65%

The main driver of earnings growth comes from the robust demand in LEO satellite operations. Shengda Technology has cultivated the satellite application field for years and successfully integrated its product lines into satellite platforms, covering communication payload, telemetry tracking and command systems (TT&C), inter-satellite links (ISL), and direct-to-device (D2C) core applications. Among these, TT&C and ISL new products have initiated shipments in Q4, with production capacity to be gradually increased subsequently.

Currently, satellite component operations account for approximately 65% of revenue, with ground station operations contributing 35%. The LEO satellite sector is the growth engine, contributing approximately 58% in September, close to 70% in October, and further rising to 64.5% in November. For the first 11 months of this year, LEO satellite revenue has accumulated to 1.2 billion yuan, far exceeding last year's full-year scale of 1 billion yuan, demonstrating strong growth momentum.

Shengda Technology currently holds over 1 billion yuan in LEO satellite backlog orders, with confidence in Q4 and subsequent performance. Securities analysts expect December shipments have the potential to exceed the previous two months, driving Q4 LEO satellite revenue to be significantly higher than the first three quarters. The company is even more optimistic, estimating that this business segment's revenue scale in 2026 will at least double compared to the current level.

## Customer Portfolio Expands, New Opportunities Gradually Materialize

In addition to existing major LEO satellite operator customers, Shengda Technology is actively developing mid-size satellite operators, currently targeting approximately five manufacturers with high cooperation potential. One has officially transitioned to a customer with plans to launch satellites next year; another is expected to begin transactions and enter sample testing phase next year, with potential to become a new growth driver in the medium term.

Furthermore, Shengda Technology continues to monitor emerging application trends such as space AI centers and space solar power, and has begun collaborative exploration with startups, actively positioning itself for future business opportunities.