NJEC(SH:600699) CAITONG SECURITIES·2024-07-30 07:03Investment Rating - The investment rating for the company is "Accumulate" (maintained) [1] Core Views - The company's automotive safety business is showing marginal improvement, and the automotive electronics business is experiencing a high demand period. Revenue projections for 2024-2026 are estimated at 601.24 billion, 634.79 billion, and 665.16 billion yuan, with corresponding net profits of 14.14 billion, 17.66 billion, and 20.71 billion yuan, leading to PE valuations of 14x, 11x, and 10x respectively [1][2] Financial Performance Summary - For the first half of 2024, the company reported revenue of approximately 270.80 billion yuan, a year-on-year increase of 0.24%, and a net profit of about 6.38 billion yuan, reflecting a year-on-year growth of 34.14% [2] - In Q2 2024, the company achieved a revenue of 138.02 billion yuan, a 0.07% increase year-on-year, and a net profit of 3.31 billion yuan, up 20.37% year-on-year [2] - The overall gross margin for the first half of 2024 improved by 2.4 percentage points to approximately 15.8%, with the automotive safety business gross margin at about 14.3% [2] Revenue and Profit Forecast - Revenue forecasts for the upcoming years are as follows: - 2024: 601.24 billion yuan - 2025: 634.79 billion yuan - 2026: 665.16 billion yuan - Net profit forecasts are: - 2024: 14.14 billion yuan - 2025: 17.66 billion yuan - 2026: 20.71 billion yuan - The projected growth rates for revenue and net profit indicate a steady increase, with net profit growth rates of 30.57%, 24.87%, and 17.30% for 2024, 2025, and 2026 respectively [3][5]