Desay SV(SZ:002920) Minsheng Securities·2024-08-21 01:30Investment Rating - The report maintains a "Recommended" rating for the company, with a target price based on the closing price of 88.46 CNY per share on August 20, 2024 [2][6]. Core Views - The company has demonstrated rapid profit growth, with a 34.02% year-on-year increase in revenue to 11.692 billion CNY in H1 2024 and a 38.11% increase in net profit attributable to shareholders to 838 million CNY [1]. - The company is accelerating its domestic internationalization strategy, establishing a global service system with projects in key automotive industrial regions such as Germany and Spain [1]. - The company is focusing on diversifying its intelligent driving domain control solutions to meet varying market demands, with significant orders from major clients [1]. Financial Performance - In Q2 2024, the company achieved a revenue of 6.045 billion CNY, a year-on-year increase of 27.50% and a quarter-on-quarter increase of 7.03% [1]. - The net profit attributable to shareholders for Q2 2024 was 454 million CNY, reflecting a year-on-year increase of 64.05% and a quarter-on-quarter increase of 17.90% [1]. - The gross profit margin for Q2 2024 reached 21.25%, up 0.96 percentage points year-on-year, while the net profit margin was 7.50%, up 1.67 percentage points year-on-year [1]. Future Projections - Revenue projections for 2024-2026 are estimated at 28.231 billion CNY, 34.107 billion CNY, and 40.222 billion CNY respectively, with net profits expected to be 2.085 billion CNY, 2.650 billion CNY, and 3.177 billion CNY [2][6]. - The earnings per share (EPS) are projected to be 3.76 CNY, 4.78 CNY, and 5.72 CNY for the years 2024, 2025, and 2026 respectively [2][6].