SUZHOU BEARING FACTORY CO.(430418)2024-08-19 19:30Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company's performance exceeded market expectations, with significant growth in overseas revenue [2][3] - The company is leveraging opportunities in self-sufficiency and domestic substitution, actively expanding into new markets [2] - The company has a strong competitive advantage due to its technological leadership and quality customer resources, positioning itself to enter the robotics sector [4] Financial Performance Summary - In H1 2024, the company achieved revenue of 358 million yuan, a year-on-year increase of 17.94%, and a net profit attributable to the parent company of 74 million yuan, up 33.99% year-on-year [2] - The sales gross margin for H1 2024 was 38.05%, an increase of 1.19 percentage points year-on-year, while the net profit margin was 20.65%, up 2.47 percentage points year-on-year [3] - The company’s revenue from bearing products in H1 2024 was 315 million yuan, a year-on-year increase of 16.09%, while the revenue from rolling elements was 24 million yuan, up 41.22% year-on-year [2] Regional Performance Summary - Domestic revenue for the company in 2023 was 191 million yuan, a year-on-year increase of 13.44%, while overseas revenue was 167 million yuan, up 23.53% year-on-year [2] Profit Forecast and Valuation - The report adjusts the company's net profit forecasts for 2024-2026 to 164 million yuan (previously 154 million), 202 million yuan (previously 190 million), and 248 million yuan (previously 237 million) respectively [4] - The current stock price corresponds to dynamic P/E ratios of 11, 9, and 7 times for 2024, 2025, and 2026 respectively [4]