Hangcha (SH:603298) Guoxin Securities·2024-08-23 12:01Investment Rating - The investment rating for the company is "Outperform the Market" [2][3][11]. Core Views - The company is benefiting from significant trends in internationalization and electrification within the forklift industry, leading to continuous improvement in profitability [2]. - In the first half of 2024, the company achieved a revenue of 8.554 billion yuan, representing a year-on-year growth of 3.74%, while net profit grew by 29.29% to 1.007 billion yuan [2]. - The increase in net profit outpaced revenue growth due to higher sales of high-margin electric forklifts, an increase in overseas revenue, and low raw material prices [2]. - The company is expanding its aftermarket business and has made strategic investments in smart logistics, which are expected to further enhance growth opportunities [2]. Financial Forecasts and Key Metrics - Revenue projections for the company are as follows: 14,412 million yuan in 2022, 16,272 million yuan in 2023, and expected to reach 17,554 million yuan in 2024, with a growth rate of 7.9% [1]. - Net profit is forecasted to increase from 988 million yuan in 2022 to 1,720 million yuan in 2023, and further to 1,980 million yuan in 2024, reflecting a growth rate of 15.1% [1]. - The company's earnings per share (EPS) are projected to be 1.14 yuan in 2022, 1.84 yuan in 2023, and 1.51 yuan in 2024 [1]. - The EBIT margin is expected to improve from 7.4% in 2022 to 10.1% in 2023 and 11.4% in 2024 [1]. - The return on equity (ROE) is projected to remain strong, with estimates of 15.7% in 2022, 20.0% in 2023, and 20.2% in 2024 [1]. - The price-to-earnings (P/E) ratio is expected to decrease from 14.1 in 2022 to 8.7 in 2023 and further to 10.6 in 2024 [1].