S.C(SZ:300724) Ping An Securities·2024-08-22 12:31Investment Rating - The report maintains a "Recommendation" rating for the company [2][5] Core Views - The company achieved a record high revenue of 66.22 billion yuan in the first half of 2024, representing a year-on-year growth of 62.19%, with a net profit of 12.26 billion yuan, up 63.15% year-on-year [3][5] - The second quarter revenue reached 40.44 billion yuan, showing a significant year-on-year increase of 87.90% [3] - The company plans to repurchase shares worth 30 million to 60 million yuan at a price not exceeding 65 yuan per share, which will be used for cancellation and reduction of registered capital [3] Financial Performance - The company reported a gross margin of 30.78% in Q2, with a slight year-on-year increase, while the expense ratio remained stable at 5.8% [3] - As of the end of Q2, the company's inventory decreased to 21.64 billion yuan, marking the first decline since 2022 [3] - The contract liabilities stood at 18.45 billion yuan, indicating a slight increase, with expectations of positive growth in new orders [3] Business Development - The company has made significant progress in various business and technology areas outside of TOPCon, including advancements in HJT battery cells and equipment for perovskite technology [5] - The company has successfully delivered new equipment in the semiconductor and lithium battery sectors, showcasing its capability to replace imported equipment [5] Future Outlook - The company’s net profit forecasts for 2024-2026 have been adjusted to 27.62 billion, 24.15 billion, and 17.29 billion yuan respectively, with EPS estimates of 7.93, 6.94, and 4.97 yuan [5] - The company is positioned as a platform enterprise in the photovoltaic battery equipment sector, with strong technical capabilities and a focus on low-cost TOPCon equipment and new technologies [5]