Shanghai Friendess(SH:688188) Guoxin Securities·2024-08-22 00:31Investment Rating - The investment rating for the company is "Outperform the Market" [5][12]. Core Views - The company achieved a revenue growth of 33.65% year-on-year in the first half of 2024, with total revenue reaching 884 million yuan and net profit attributable to shareholders increasing by 35.67% to 491 million yuan [1][2]. - The growth was driven by sustained demand for high-power thick plate cutting and the rapid expansion of the intelligent cutting head business [1]. - The company maintains a leading market share in the domestic low-power system market and continues to enhance its product advantages through a combination strategy of high-power systems and intelligent cutting heads [1][2]. Financial Performance Summary - In the first half of 2024, the company's revenue was 884 million yuan, with a year-on-year increase of 33.65%, and net profit was 491 million yuan, up 35.67% [1]. - The gross margin and net margin for the first half of 2024 were 81.28% and 59.82%, respectively, showing an increase of 0.92 and 1.72 percentage points year-on-year [1]. - Revenue from the company's product segments, including board card systems, cutting heads, and bus systems, was 265 million, 252 million, and 212 million yuan, respectively, with year-on-year growth rates of 58.26%, 64.44%, and 44.43% [1]. Future Outlook - The company has launched a new stock incentive plan, aiming to enhance long-term incentive mechanisms, with targets set for revenue and net profit growth over the next three years [2]. - The forecast for net profit attributable to shareholders for 2024-2026 is 989 million, 1.302 billion, and 1.654 billion yuan, respectively, with corresponding PE ratios of 32, 25, and 19 times [2][3].