Tricolor(603516) 长城证券·2024-08-12 06:09Investment Rating - Buy (Maintained Rating) [1] Core Views - The company's performance has significantly improved, with AI business breakthroughs and smooth progress in self-developed chips, indicating sustained rapid growth [2] - Overseas business achieved a breakthrough from 0 to 1, with significant revenue growth [2] - Self-developed chips have opened up new growth space, with three new chips released in April 2024 [3] - The company has expanded into new sectors, breaking through XR/AR core technologies and winning awards in the VR/AR/MR/XR field [4] Financial Performance - Revenue for 2024H1 was 234 million yuan, up 7.22% YoY, with net profit attributable to the parent company at 39 million yuan, up 494.03% YoY [2] - Gross margin for 2024H1 was 53.31%, up 9.87 percentage points YoY [2] - Revenue growth rates for 2022-2026 are projected at -18.6%, 31.0%, 64.7%, 40.2%, and 35.6% respectively [1] - Net profit attributable to the parent company growth rates for 2022-2026 are projected at -64.0%, -41.5%, 657.8%, 56.4%, and 60.2% respectively [1] Valuation Metrics - P/E ratios for 2022-2026 are 199.3x, 340.7x, 45.0x, 28.7x, and 17.9x respectively [1] - P/B ratios for 2022-2026 are 6.2x, 6.0x, 5.4x, 4.6x, and 3.7x respectively [1] Business Developments - The company has established a business partnership with a leading international graphics technology and AI computing company, N, and obtained a Vendor Code [2] - The company has developed three new chips: Coollights, Zeus, and Thor, which are expected to enhance competitiveness and profitability [3] - The company has made breakthroughs in XR/AR core technologies and won awards in the VR/AR/MR/XR field [4] Financial Projections - Projected net profit attributable to the parent company for 2024-2026 is 132 million yuan, 207 million yuan, and 332 million yuan respectively [1] - Projected EPS for 2024-2026 is 0.66 yuan, 1.03 yuan, and 1.64 yuan respectively [1] Industry and Market Position - The company is in the computer industry and is a leader in professional audio-visual display control, continuously expanding its product lines and exploring new sectors [4]