Shengda Technology hits a new high in November, with low Earth orbit satellite business contribution approaching 70%

Communications Satellite Component Manufacturer Shengda Technology (3491) recently announced its November self-consolidated profit, once again demonstrating strong growth momentum. Monthly revenue reached NT$285 million, setting a record high, a 48% increase compared to the same period last year; after-tax net profit was NT$86 million, with earnings per share (EPS) of NT$1.3, a 13% year-over-year profit growth. Compared to the third quarter revenue of NT$484 million and after-tax net profit of NT$88 million, the November monthly operation clearly warmed up, showing a strong push at the end of the quarter.

Cumulative revenue for the first 11 months reached NT$2.132 billion, a 1.34% increase year-over-year, also rewriting historical same-period records. The first three quarters’ cumulative after-tax net profit was NT$303 million, with an EPS of NT$4.6. Although slightly down from the same period last year, it still ranks as the second-highest level in history for the same period.

Low Earth Orbit Satellite Growth Engine, Business Proportion Rapidly Surging to Over 60%

Shengda Technology’s impressive performance mainly stems from the continued momentum of low earth orbit satellite orders. The company’s satellite component revenue accounts for about 65%, while ground station business contributes approximately 35%. The product line has successfully entered satellite payload applications, covering core areas such as communication payloads, TT&C (Telemetry, Tracking & Command), ISL (Inter-Satellite Link), and D2C (Device-to-Device). Among these, TT&C and ISL new products have been shipped sequentially from the fourth quarter and are increasing month by month.

The growth rate of low earth orbit satellite business is particularly remarkable. In September, this business contributed about 58%, rising to nearly 70% in October, and further deepening to 64.5% in November. In the first 11 months of this year, low earth orbit satellite revenue has already reached about NT$1.2 billion, compared to NT$1 billion for the entire last year, showing clear growth momentum. The company expects December shipments to be better than the previous two months, driving the fourth quarter low earth orbit satellite revenue to significantly surpass the first three quarters, and is confident in the continued revenue growth into January.

Abundant Orders on Hand, Revenue Scale Expected to Double by 2026

Shengda Technology’s low earth orbit satellite business has orders on hand totaling NT$1 billion, laying a solid foundation for future operations. The company is optimistic about the outlook from the fourth quarter to 2026, expecting low earth orbit satellite revenue contribution to at least double by 2026 compared to current levels.

In addition to its two major existing low earth orbit satellite operators, the company is actively expanding into small and medium-sized satellite providers, currently targeting about five potential partners. One has already become a formal customer, planning to launch satellites next year; another is expected to start transactions next year and enter the sample verification stage. Furthermore, Shengda Technology is closely monitoring emerging application fields such as space AI centers and space solar power, and has begun cooperation with startups to seize future industry opportunities.

Strong Fundamentals Drive Stock Price Breaks NT$600, Market Continues to Pour In

Robust performance and bright prospects drive market confidence. Shengda Technology’s stock price has recently hit new highs. After breaking the NT$600 mark last Friday (12th), it continued to rise today, closing at NT$628. This rally reflects institutional and investor optimism about the company’s medium- and long-term growth potential, and also indicates that the prosperity of the low earth orbit satellite industry is gradually fermenting.