Camel Group(601311) 华鑫证券·2024-08-20 23:31Investment Rating - The report maintains a "Buy" rating for the company [1][6] Core Insights - The company demonstrated steady performance in Q2 2024, with revenue reaching 4.1 billion yuan, a year-on-year increase of 26% and a quarter-on-quarter increase of 18%. The net profit attributable to shareholders was 158 million yuan, up 35% year-on-year and 1% quarter-on-quarter [3] - The overseas business showed remarkable growth, with a year-on-year increase of approximately 79% in overseas sales. The company continues to strengthen its domestic market position while expanding internationally [4] - The company holds a significant market position in both the original equipment and replacement markets for lead-acid batteries, with a current dividend yield of nearly 4%, indicating strong value [5] Summary by Sections Financial Performance - In H1 2024, the company achieved revenue of 7.527 billion yuan, a year-on-year increase of 15.24%, and a net profit of 314 million yuan, up 11.89% year-on-year [2] - The gross margin for Q2 2024 was 14.5%, and the net margin was 4.2%, with a slight decrease in gross margin attributed to increased external sales of recycled lead [3] Business Segments - The lead-acid business generated revenue of 6 billion yuan in H1 2024, with a gross margin of 20%. The recycled lead business saw a revenue decline of 10% year-on-year, while the lithium battery business experienced a significant revenue increase of 137% year-on-year [4] Market Position and Valuation - The company is well-positioned in the lead-acid battery market, with a strong domestic base and ongoing international expansion. The current valuation is considered low, enhancing its attractiveness as an investment [5] - Profit forecasts for 2024-2026 indicate net profits of 770 million, 930 million, and 1.11 billion yuan, respectively, with corresponding EPS of 0.66, 0.80, and 0.95 yuan, leading to a PE ratio of 11, 9, and 8 times [6]