LY iTECH(SZ:002600) SINOLINK SECURITIES·2024-06-20 03:07Investment Rating - The report maintains a "Buy" rating for the company, with an expected price increase of over 15% in the next 6-12 months [10]. Core Views - The company is focusing on building an AI + terminal intelligent manufacturing platform, benefiting from AI-enabled smart hardware [3][4]. - The company has released a stock option incentive plan, granting 23.8 million stock options to 1,463 core employees, with performance targets set for revenue and net profit growth from 2024 to 2026 [3]. - The company's revenue from AI terminals and communication-related businesses reached 30.687 billion yuan in 2023, with a gross margin of 21.62% [3]. Summary by Sections Company Overview - The company reported a revenue of 34.124 billion yuan in 2023, a slight decrease of 1.05% from 2022, with a projected revenue growth of 17.84% in 2024 [6][8]. - The net profit attributable to shareholders for 2023 was 2.051 billion yuan, reflecting a growth of 28.50% compared to 2022 [6][8]. Financial Projections - Forecasted net profits for 2024, 2025, and 2026 are 1.959 billion yuan, 2.483 billion yuan, and 3.062 billion yuan, respectively, with growth rates of -4.50%, +26.78%, and +23.31% [4][6]. - The company's price-to-earnings (P/E) ratios are projected to be 20, 16, and 13 for the years 2024, 2025, and 2026 [4]. Business Strategy - The company aims to leverage AI innovations in consumer electronics, particularly in smartphones, to enhance product offerings and maintain competitive advantages [4]. - Collaborations with leading manufacturers in the consumer electronics sector are expected to support stable revenue growth [4]. - The company is also focusing on humanoid robots and cloud server cooling solutions, adapting to industry demands for efficiency and performance [4].