Inovance(300124) 东吴证券·2024-08-27 06:02Investment Rating - Buy (Maintained) [1] Core Views - 24H1 revenue increased by 30% YoY, with net profit attributable to the parent company up by 2%, meeting market expectations [3] - Gross margin under pressure due to intensified competition, with Q2 gross margin at 29.9%, down 6.3 percentage points YoY [3] - General automation: Despite an 8% decline in the industrial control industry in Q2, the company's industrial control revenue increased by approximately 10% YoY [3] - New energy vehicles: Q2 revenue increased by approximately 80% YoY, with United Power's profit nearing 400 million yuan [3] - Elevator: Q2 revenue decreased by approximately 6% YoY, with overseas and large-scale supporting businesses becoming the foundation for stable growth [4] - Overseas: Q2 revenue increased by 17% YoY, driven by steady growth in elevator exports, with industrial control exports expected to grow by over 30% YoY [4] Financial Forecasts and Valuation - Revenue forecast for 2024E: 37,292 million yuan, a 22.59% increase YoY [2] - Net profit attributable to the parent company forecast for 2024E: 5,456 million yuan, a 15.06% increase YoY [2] - EPS forecast for 2024E: 2.04 yuan per share [2] - P/E ratio for 2024E: 19.89x [2] - Target price: 71.4 yuan, based on a 35x P/E ratio for 2024 [4] Market Data - Closing price: 40.53 yuan [5] - 52-week low/high: 39.17/70.56 yuan [5] - P/B ratio: 4.28x [5] - Market capitalization: 108,545.10 million yuan [5] Financial Data - Net asset per share: 9.46 yuan [6] - Asset-liability ratio: 48.98% [6] - Total shares outstanding: 2,678.14 million [6] - Tradable A-shares: 2,267.10 million [6] Related Research - "HuiChuan Technology (300124): 2024 Interim Report Preview: Industrial Control α Remains Significant, New Energy Vehicles Enter Harvest Period" [7] - "HuiChuan Technology (300124): 2023 Annual Report and 2024 Q1 Report Review: Industrial Control Leader Navigates the Cycle, Electric Drive Enters Harvest Period" [7]