CAIP(603035) 财通证券·2024-08-28 00:03Investment Rating - Maintained "Overweight" rating [1] Core Views - The company reported strong H1 2024 results with revenue of 2.372 billion yuan, up 28.88% YoY, and net profit of 256 million yuan, up 11.43% YoY [1] - Q2 2024 revenue reached 1.313 billion yuan, up 31.89% YoY, with net profit of 152 million yuan, up 10.08% YoY [1] - Gross margin in H1 2024 was 18.16%, down 2.57 percentage points YoY, while R&D expenses increased to 4.24% of revenue, up 0.14 percentage points YoY [1] - The company is expanding its production capacity with new bases in Zhaoqing, Hefei, and Anqing, and has entered the German OEM supply chain with its third-generation smart cockpit "ix-2024" [2] - Forecasted net profits for 2024-2026 are 601 million yuan, 755 million yuan, and 873 million yuan, respectively, with corresponding P/E ratios of 7.65x, 6.09x, and 5.26x [2] Financial Performance - Revenue growth is expected to be 19.89% in 2024E, 14.90% in 2025E, and 14.90% in 2026E [3] - Net profit growth is projected at 10.04% in 2024E, 25.59% in 2025E, and 15.71% in 2026E [3] - ROE is forecasted to increase from 11.02% in 2024E to 13.19% in 2026E [3] - EPS is expected to grow from 1.58 yuan in 2024E to 2.30 yuan in 2026E [3] Operational Highlights - The company has 15 production bases across China, including Changshu, Changchun, Shenyang, and Beijing [2] - Smart cockpit business is a key focus, with the "ix-2024" model winning the Red Dot Award and securing a position in the German OEM supply chain [2] - The company is actively expanding its overseas market presence, particularly in the smart cockpit segment [2] Valuation Metrics - The company's P/E ratio is expected to decline from 7.65x in 2024E to 5.26x in 2026E [2] - PB ratio is forecasted to decrease from 0.84x in 2024E to 0.69x in 2026E [3] - EV/EBITDA is projected to drop from 5.1x in 2024E to 3.8x in 2026E [4]