海格通信：短期承压符合预期，看好长期趋势

Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of RMB 13.42 [4][5]. Core Views - Short-term pressure is in line with expectations, but there is a strong long-term outlook due to new business growth and recovery in wireless terminals [4][9]. - The company's revenue for 1H24 was RMB 2.591 billion, a year-on-year decrease of 9.93%, while the net profit attributable to the parent company was RMB 196 million, down 37.11% year-on-year [4][5]. - The report anticipates a significant recovery in profits driven by new business developments and the recovery of wireless terminal sales, projecting net profits of RMB 812 million, RMB 1.029 billion, and RMB 1.332 billion for 2024, 2025, and 2026 respectively [4][5]. Summary by Sections Financial Performance - The company's gross margin for 1H24 was 32.12%, a decrease of 1.85 percentage points year-on-year, and the net margin was 8.63%, down 2.44 percentage points year-on-year [6]. - The company reported a significant increase in R&D expenses, which rose by RMB 55.65 million year-on-year, reflecting a strategic commitment to innovation despite a challenging market environment [6][7]. Business Segments - Revenue from wireless communication, Beidou navigation, aerospace, and smart ecology for 1H24 was RMB 730 million, RMB 410 million, RMB 160 million, and RMB 1.25 billion respectively, with year-on-year changes of -45%, +275%, +17%, and -2% [5]. - The Beidou III business is experiencing rapid growth, indicating a shift towards large-scale upgrades in various industries, including automotive and consumer electronics [5]. Strategic Partnerships - The company has established a comprehensive partnership with China Mobile, which has increased its stake in the company to 1.40% as of the end of Q2 [7]. - The collaboration focuses on expanding applications in the "Beidou+" sector, low-altitude infrastructure, and integrated development of air and space communication networks [7].