TFC(SZ:300394) Guotai Junan Securities·2024-08-23 09:41Investment Rating - The report maintains an "Accumulate" rating for the company, with a target price of 153.00 CNY, unchanged from the previous forecast [5][7]. Core Insights - The company's mid-year report shows impressive profitability, with revenue reaching 1.556 billion CNY, a year-on-year increase of 134.27%, and a net profit attributable to shareholders of 654 million CNY, up 177.20% year-on-year [6][7]. - The report highlights the recovery of equity in Tianfu Star and the commencement of operations at its overseas base, which is expected to contribute positively to future performance [6][7]. - The company anticipates stable growth in its 800G products and is preparing for the upcoming demand for 1.6T products, with production capacity being expanded in response to market needs [6][7]. Financial Summary - The company forecasts net profits for 2024, 2025, and 2026 to be 1.554 billion CNY, 3.142 billion CNY, and 3.421 billion CNY respectively, with corresponding EPS of 2.81 CNY, 5.67 CNY, and 6.18 CNY [7][8]. - The financial summary indicates a significant increase in revenue and net profit over the years, with projected revenue for 2024 expected to reach 3.9 billion CNY, representing a growth of 101.2% from 2023 [8][16]. - The report also notes a strong gross margin of 59.77% and a net margin of 45.58% for Q2, reflecting the company's robust profitability [7][8].