IFLYTEK(SZ:002230) Ping An Securities·2024-08-23 08:30Investment Rating - The investment rating for the company is "Recommended (Maintain)" [1][8] Core Views - The company achieved a revenue of 9.325 billion yuan in the first half of 2024, representing a year-on-year growth of 18.91%. However, it reported a net profit attributable to shareholders of -400 million yuan, indicating a shift from profit to loss [4][5] - The company is actively investing in the development of general artificial intelligence, with over 650 million yuan allocated to R&D and technology advancements in the first half of 2024 [5][8] - The continuous iteration of the "Xunfei Spark" large model is expected to strengthen the company's core advantages in the artificial intelligence sector [7][8] Financial Summary - Revenue and Profit Forecasts: - 2024E revenue is projected at 23.388 billion yuan, with a year-on-year growth of 19.0% - Net profit for 2024E is adjusted to 505 million yuan, down from a previous estimate of 706 million yuan [4][8] - Key Financial Metrics: - Gross margin is expected to improve from 42.7% in 2023A to 42.8% in 2024E - Net profit margin is projected to decrease from 3.3% in 2023A to 2.2% in 2024E [4][9] - Earnings Per Share (EPS): - EPS for 2024E is estimated at 0.22 yuan, with further increases to 0.35 yuan in 2025E and 0.43 yuan in 2026E [4][8] Business Segments Performance - Education Products and Services: Revenue reached 2.860 billion yuan, up 25.14% year-on-year - Healthcare Business: Revenue was 228 million yuan, growing by 18.80% - Open Platform: Revenue increased by 47.92% to 2.345 billion yuan - Smart Hardware: Revenue surged by 56.61% to 900 million yuan - Smart City Business: Revenue declined by 21.22% to 1.186 billion yuan - Telecom Business: Revenue decreased by 6.94% to 902 million yuan - Automotive Business: Revenue grew by 65.49% to 352 million yuan [5][6][7]