SCIYON(SZ:002380) ZHESHANG SECURITIES·2024-08-11 03:09Investment Rating - The report maintains a "Buy" rating for the company [7] Core Views - The company benefited from a high demand in downstream industries, achieving significant improvement in profitability in the first half of 2024 [2][3] - The company reported total revenue of 805 million yuan, a year-on-year increase of 16.24%, and a net profit attributable to shareholders of 110 million yuan, a year-on-year increase of 153.55% [2] - The overall gross margin improved to 40.13%, up by 4.15 percentage points year-on-year, indicating enhanced operational efficiency [2] - The company is positioned as a leading player in the domestic thermal power DCS sector, expected to continue benefiting from strong market demand [4] Financial Summary - In the first half of 2024, the company's revenue from industrial automation, industrial internet, and industrial software was 693 million yuan, 106 million yuan, and other segments, with respective year-on-year growth rates of 28.97% and a decline of 23.35% [2] - The second quarter of 2024 saw a revenue of 438 million yuan, a year-on-year increase of 6.72%, and a net profit of approximately 67.53 million yuan, up by 102.33% [2] - The company forecasts revenues of 1.93 billion yuan, 2.56 billion yuan, and 3.27 billion yuan for 2024, 2025, and 2026, respectively, with corresponding year-on-year growth rates of 37.24%, 32.57%, and 27.83% [5][8] Market Outlook - The company is expected to benefit from favorable factors such as energy security, innovation in information technology, and equipment upgrades in the industrial sector, leading to sustained high demand [3] - The market size for DCS system replacements and new constructions in the thermal power sector is estimated to be approximately 190 billion yuan [4]