Net profit expected to increase up to 50 times, who is leading in the first quarter forecast?

Ask AI · Demingli’s net profit soars 50 times, how can the rising trend in storage chip prices serve as a catalyst?

Tonghuashun iFind shows that as of 8 p.m. on April 2, a total of 21 A-share listed companies disclosed their first-quarter 2026 performance forecasts, with 18 showing positive surprises, accounting for approximately 85.71%. Among them, Demingli (001309.SZ) ranks first among the companies with positive forecasts, with an expected net profit growth of 46.59 times to 53.83 times.

Overall, 8 companies have disclosed revenue data, with an average forecasted increase of 98.98% to 124.59%; in terms of net profit, Huawe Group (603501.SH) was excluded because it only disclosed gross profit margin performance (28.70%–29.60%), and influenced by high-growth companies like Demingli, the average net profit forecast for 20 listed companies is between 640.13% and 783.87%.

Image source: Tonghuashun iFind

In terms of individual stocks, besides Demingli, Fuxiang Pharmaceutical (300497.SZ) has a net profit forecast increase of 2222.67%–3250.01%, and Ouke Yi (688308.SH) has a forecast increase of 2248.91%–2770.92%, ranking in the top three in the market. Fuxiang Pharmaceutical stated: “Benefiting from the continued improvement in the new energy industry, the demand for power batteries and energy storage batteries has rapidly exploded, driving the upstream lithium battery material demand to continue rising. The company’s lithium battery electrolyte additive business is performing well, with core products like VC and FEC seeing both volume and price increases, becoming the core driving force behind the surge in performance.”

Ouke Yi emphasized that against the backdrop of a significant rise in raw material tungsten carbide, as a leader in hard alloy cutting tools, the company can leverage its capital and scale advantages to achieve both volume and price increases, while also benefiting from the increased capacity utilization of previous investment projects, significantly enhancing profitability.

However, while Demingli is leading the way, Caixin notes that performance divergence is evident among other companies in the semiconductor supply chain such as Muxi Co., Huaiguang Information (688041.SH), and Huawe Group. For example, Muxi Co. expects a net profit growth of 21.93% to 60.97% in Q1; Huaiguang Information remains roughly the same, with a year-over-year increase of 22.56% to 42.32%; Huawe Group’s revenue growth has slowed significantly, with a year-over-year change of -4.51% to 0.03%.

This may be related to the storage chip price surge this year.

Data shows that in Q1 2026, the global contract prices for general-purpose DRAM increased by 55%–60% month-on-month, and NAND flash memory increased by 33%–38%. As a result, upstream companies mainly designing flash memory chips and manufacturing storage modules like Demingli may also benefit. According to Demingli’s earnings forecast: “The storage industry’s prosperity continues to rise, storage prices continue to increase, and with sufficient raw material strategic reserves, the company’s profitability continues to improve.”

According to recent IDC research reports, further price increases in memory semiconductors will cause their cost share in smartphones to jump from the previous 10%–15% to over 20%. Among them, the storage cost share in mid-to-low-end phones is close to 30%, with some thousand-yuan phones already in negative gross profit territory.

In this context, Huawe Group’s CIS business, which mainly serves these 3C manufacturers, may be affected to some extent. Tonghuashun iFind shows that the company’s CIS business revenue in 2025 was 21.25 billion yuan, accounting for 73.7% of total revenue; among them, mobile phone CIS and automotive CIS revenue were 8.27B yuan and 7.47B yuan respectively, together accounting for 74.1% of its CIS business.

In response, Huawe Group also stated: “Driven by the construction of AI infrastructure in the global semiconductor industry, the supply and demand relationship of products represented by storage chips has experienced a phased disturbance,” and the demand from consumer electronics and automotive electronics terminal markets is under pressure, which has a certain impact on current revenue scale.

Looking at the fourth-ranked net profit growth, Wanbangde (002082.SZ) is expected to reach 165 million yuan in Q1, a year-over-year increase of 985.4%. The company stated: “The strategic transformation into innovative drugs has begun to show results, and the business expansion during the reporting period has brought new growth points.”

Additionally, several other pharmaceutical and biotech listed companies performed well. Among them, Ailisi (688578.SH) is expected to achieve a net profit of 590 million yuan in Q1, a year-over-year increase of 41.12%, supported by “national medical insurance policies and coverage,” “sales revenue of commercialized products,” and “continuous growth in promotion service income.” Shandong Heda (002810.SZ) is expected to have a net profit of 90.34 million to 99.37 million yuan, a year-over-year increase of 100%–120%, driven by “significant growth in sales of high-value-added products like plant hollow capsules.”