LCXX(SZ:000977) Guohai Securities·2024-08-27 06:47Investment Rating - The investment rating for the company is "Buy" (maintained) [1][6]. Core Views - The company has achieved significant growth in overseas revenue, with a year-on-year increase of 172% in the first half of 2024. The domestic business also saw a revenue increase of 46.93% [2][4]. - The company is positioned to benefit from the AI computing era, with a focus on "AI+" full-stack capabilities and the introduction of new AI server products [4][5]. - The company is expected to maintain a strong growth trajectory, with projected revenues of 957.71 billion, 1,205.49 billion, and 1,499.73 billion for 2024, 2025, and 2026 respectively [4][5]. Summary by Sections Financial Performance - In H1 2024, the company reported revenue of 420.64 billion, a year-on-year increase of 69.63%, and a net profit of 5.97 billion, up 83.53% [2][4]. - For Q2 2024, revenue reached 244.57 billion, with a year-on-year growth of 58.49%, and net profit increased by 129.01% to 2.91 billion [2][4]. Market Position - The company has established a strong global presence, with significant local operations in Europe, Japan, South Korea, and Southeast Asia, enhancing its market position and operational capabilities [2][4]. - The introduction of new products, such as the NF5698G7 AI server and the modular liquid cooling intelligent computing center, is expected to improve profitability and market competitiveness [4][5]. Future Projections - The company forecasts revenue growth rates of 45% in 2024, 26% in 2025, and 24% in 2026, with net profit growth rates of 26% and 28% for the following years [5][6]. - The projected earnings per share (EPS) are expected to be 1.52, 1.95, and 2.46 for 2024, 2025, and 2026 respectively, indicating a positive outlook for shareholder returns [5][6].