FYG,FUYAO GLASS(SH:600660) Xinda Securities·2024-07-31 13:30Investment Rating - The investment rating for Fuyao Glass (600660.SH) is not explicitly stated in the provided documents, but the overall sentiment appears positive based on the performance metrics and future outlook [2][4]. Core Insights - Fuyao Glass reported a strong performance in H1 2024, with revenue of approximately 18.34 billion yuan, a year-on-year increase of 22.0%, and a net profit of 3.50 billion yuan, up 23.3% year-on-year [2][3]. - The company's Q2 2024 revenue reached 9.50 billion yuan, reflecting a 19.1% year-on-year growth and a 7.6% quarter-on-quarter increase, with a net profit of 2.11 billion yuan, which is a 9.8% increase year-on-year and a 52.1% increase quarter-on-quarter [3][4]. - Fuyao Glass's leading position in the automotive glass market is reinforced by its continuous market share growth and improved profitability due to scale effects, internal efficiency enhancements, and declining raw material costs [3][4]. Summary by Sections Financial Performance - In H1 2024, Fuyao Glass achieved a total revenue of 18.34 billion yuan, with a net profit of 3.50 billion yuan, and a non-recurring net profit of 3.69 billion yuan, marking increases of 22.0%, 23.3%, and 32.1% respectively year-on-year [3][5]. - For Q2 2024, the company reported revenue of 9.50 billion yuan and a net profit of 2.11 billion yuan, with a net profit margin of 22.2%, showing a year-on-year decline of 1.9 percentage points but a quarter-on-quarter increase of 6.5 percentage points [3][5]. Investment and Expansion Plans - Fuyao Glass plans to invest a total of 9 billion yuan in expanding production capacity, including 3.25 billion yuan for a new automotive safety glass project in Fujian and 5.75 billion yuan for projects in Anhui [3][4]. - The company is focusing on high-value-added products, such as lightweight ultra-thin glass and smart panoramic roof glass, which are expected to enhance its average selling price (ASP) and profit margins [3][4]. Earnings Forecast - The forecast for Fuyao Glass indicates a revenue growth trajectory with expected revenues of 39.3 billion yuan, 46.6 billion yuan, and 54.8 billion yuan for 2024, 2025, and 2026 respectively, representing year-on-year growth rates of 18.5%, 18.5%, and 17.6% [4][5]. - The projected net profit for the same period is 7.07 billion yuan, 8.71 billion yuan, and 10.72 billion yuan, with corresponding growth rates of 25.6%, 23.2%, and 23.1% [4][5].