JACK(603337) 华泰证券·2024-08-12 23:50Investment Rating - The investment rating for the company is "Buy" with a target price of 38.20 RMB [6]. Core Insights - The company's revenue for the first half of the year reached 3.23 billion RMB, a year-on-year increase of 20%, while the net profit attributable to shareholders was 417 million RMB, up 54% year-on-year, positioning at the upper end of the previously forecasted range [1]. - The company has experienced rapid growth across all business segments, with notable performance in the cutting bed and automated sewing units, achieving breakthroughs with five international benchmark clients [2]. - The company's gross margin and net margin reached new highs since its listing, with gross margin at 31.8% and net margin at 13.0%, reflecting improvements in product structure and cost reductions [3]. - The company reported a strong cash flow performance with a net inflow from operating activities of 635 million RMB, exceeding the total profit of 417 million RMB, and announced a mid-term dividend plan [4]. Financial Performance Summary - For the first half of the year, the company achieved a revenue of 3.23 billion RMB, with a year-on-year growth of 20% and a net profit of 417 million RMB, reflecting a 54% increase [1]. - The company’s revenue from industrial sewing machines, cutting beds, and automated sewing units grew by 19%, 25%, and 38% year-on-year respectively [2]. - The gross margin improved by 3.4 percentage points year-on-year to 31.8%, while the net margin increased by 2.8 percentage points to 13.0% [3]. - The company plans to distribute a cash dividend of 0.3 RMB per share, totaling 139 million RMB, which represents 33% of the half-year profit [4]. Earnings Forecast - The forecasted net profit attributable to shareholders for 2024, 2025, and 2026 is expected to be 771 million RMB, 1.155 billion RMB, and 1.288 billion RMB respectively, with corresponding PE ratios of 16.67, 11.13, and 9.98 [5].