软控股份：公司深度报告：轮胎设备景气上行，液体黄金持续增长

Investment Rating - The report maintains a "Buy" rating for the company Soft Control Co., Ltd. (002073.SZ) [8] Core Views - The tire equipment industry is experiencing an upward trend, and the "liquid gold" materials are continuously growing [14][108] - The company has three growth drivers: 1) Expansion of domestic tire manufacturers' production capacity benefiting equipment orders; 2) Improvement in product performance leading to increased market share in the global rubber machinery equipment market; 3) Continuous growth in "liquid gold" materials and synthetic rubber materials, opening up growth ceilings [14] Company Performance Overview - In 2023, the company achieved a net profit of 3.95 billion yuan, marking a 64.4% increase year-on-year, and the highest net profit in the past decade [46][57] - The company's revenue for 2023 was 56.48 billion yuan, a decrease of 1.54% year-on-year, with rubber equipment revenue at 40.21 billion yuan, up 23.13% year-on-year [48][57] - The gross profit margin for 2023 was 26%, an increase of 5.84 percentage points year-on-year, while the net profit margin was 7%, up 2.95 percentage points year-on-year [69][57] Financial Projections - Projected revenues for 2024, 2025, and 2026 are 78.40 billion yuan, 105.40 billion yuan, and 110.40 billion yuan, respectively [17] - Expected net profits for the same years are 5.16 billion yuan, 7.74 billion yuan, and 8.61 billion yuan, corresponding to P/E ratios of 14, 9, and 8 times [17] Market Position and Product Development - The company is a leader in rubber machinery manufacturing, with a complete product chain for tire production processes [21][117] - The "liquid gold" material, EVEC rubber, is a high-quality raw material for high-performance green tires, addressing the "devil's triangle" of tire performance [36][14] - The company has a significant contract liability of 41.69 billion yuan as of the end of 2023, with 85% attributed to tire equipment [16][65] Inventory and Order Status - As of the end of 2023, the company's inventory reached 59.03 billion yuan, a year-on-year increase of 21.56%, indicating a robust order backlog [65] - The company has a strong order book, with a significant portion of its revenue coming from both domestic and international clients [15][16]