Smartsens Technology (Shanghai) (SH:688213)2024-07-19 08:01Investment Rating - The report maintains a "Buy" rating for the company [6] Core Insights - The company is expected to report revenue of 24-25 billion yuan for the first half of 2024, representing a year-on-year increase of 124%-133%, with a net profit of 1.35-1.55 billion yuan, indicating a turnaround from losses [6] - The smartphone market has opened a second growth curve for the company, with significant increases in shipments of high-end 50MP products for flagship smartphones, particularly in the XS series [6] - The company has accelerated mass production of high-end smartphone products, with expectations to become the largest main business in 2024 [6] - The security product line has seen improved performance and competitiveness, with a notable increase in sales revenue due to a recovery in market demand [6] - The profit forecast has been raised, with expected net profits of 3.82 billion, 6.1 billion, and 8.01 billion yuan for 2024, 2025, and 2026 respectively, reflecting a significant upward adjustment [6] Financial Summary - The company reported total revenue of 2,857 million yuan in 2023, with projected revenues of 4,938 million yuan in 2024, 5,823 million yuan in 2025, and 6,574 million yuan in 2026, indicating a growth rate of 72.8% for 2024 [8][9] - The net profit for 2023 was 14 million yuan, with projections of 382 million yuan in 2024, 610 million yuan in 2025, and 801 million yuan in 2026, showing a staggering year-on-year growth of 2,585.2% for 2024 [8][9] - The gross margin is expected to improve from 20.0% in 2023 to 25.6% by 2026, indicating enhanced profitability [8]