Haitong Securities·2024-08-28 03:34Investment Rating - The investment rating for the company is "Outperform the Market" [4][7] Core Views - The company is expected to leverage innovative financing and international cooperation to seize long-term growth opportunities, particularly through its strategic partnership with Alat, a subsidiary of Saudi Arabia's Public Investment Fund [6][7] - The company aims to establish a new regional headquarters in Riyadh to serve the Middle East and Africa (MEA) region, enhancing its market presence and operational capabilities [6] - Financial forecasts indicate a recovery in performance, with projected revenue growth in the coming years, particularly in the smart devices segment [7][9] Summary by Sections Market Performance - The company's stock price has shown fluctuations, with a 52-week range of HKD 6.97 to HKD 12.26 [2] - The absolute and relative performance against the CSI 300 index shows a decline of -3.39% over one month, but a recovery of +30.97% over three months [2] Financial Data and Forecasts - For FY2024, the company expects revenue of USD 56.895 billion, a decrease of 8.16% year-on-year, with a net profit of USD 1.011 billion, down 37.15% [4][5] - Projections for FY2025 indicate a revenue increase to USD 62.297 billion, with a net profit of USD 1.160 billion, reflecting a recovery trend [5][7] - The smart devices segment is projected to account for 78.43% of total revenue in FY2024, with a forecasted growth rate of 8% in FY2025 [9] Strategic Initiatives - The partnership with Alat is expected to provide significant resources and support for the company's expansion in the MEA region, including assistance in establishing operational facilities [6] - The issuance of convertible bonds and warrants aims to raise approximately USD 2.1 billion, primarily for refinancing existing debt and funding expansion efforts in the MEA region [3][6] - The management's commitment to the company's long-term vision is underscored by significant personal financial investments from leadership [6]