Himile Science And Technology(SZ:002595) KAIYUAN SECURITIES·2024-08-22 13:41Investment Rating - The investment rating for the company is "Buy" (maintained) [2] Core Views - The company's performance in H1 2024 met expectations, with revenue of 4.138 billion yuan, a year-on-year increase of 17.0%, and a net profit attributable to shareholders of 960 million yuan, up 23.9% year-on-year. In Q2 2024, revenue reached 2.372 billion yuan, reflecting a 25.36% increase year-on-year, while net profit grew by 20.7% [3] - The growth in revenue is driven by strong domestic sales in tire molds and robust demand for CNC machine tools, with the CNC machine tool segment seeing a remarkable growth rate of 141.31% in H1 2024 [3] - The company maintains its profit forecast, expecting net profits of 2.0 billion, 2.32 billion, and 2.77 billion yuan for 2024, 2025, and 2026 respectively, with current price-to-earnings ratios of 14.7, 12.7, and 10.6 times [3] Financial Performance - The gross margin for H1 2024 was 35.2%, an increase of 2.23 percentage points year-on-year, while the net margin was 23.2%, up 1.35 percentage points year-on-year. The company has consistently increased its profitability over the past five years [4] - R&D expenses for H1 2024 amounted to 198 million yuan, a year-on-year increase of 19.3%, indicating a commitment to innovation and product development [4] Business Expansion - The company is expanding its overseas tire mold production capacity, with a factory in Thailand completed in October 2023 and a factory in Mexico set to begin operations in April 2024. This expansion is part of a global production service system that is becoming increasingly comprehensive [5] - The company is entering the high-end five-axis CNC machine tool market, leveraging its design and manufacturing expertise, and has launched a series of products that are expected to benefit from manufacturing upgrades and the trend of domestic substitution in high-end CNC machine tools [5]