JONHON(002179) 民生证券·2024-08-28 07:41Investment Rating - The report maintains a "Recommended" rating for the company with a target price of 34.47 yuan [1]. Core Views - The company's performance in Q2 2024 showed a significant improvement compared to Q1 2024, with a revenue of 51.84 billion yuan, a year-on-year decrease of 4.3%, but a quarter-on-quarter increase of 22.2% [1]. - The company is positioned as a leader in the domestic special connector market and aims to become a "global first-class" interconnection solution provider, focusing on expanding strategic emerging industries and enhancing its industrial layout [1][2]. - The company has a solid foundation for long-term development with the completion of its basic component industrial park, which is expected to contribute to future growth [1]. Financial Summary - For the first half of 2024, the company achieved a revenue of 91.97 billion yuan and a net profit attributable to shareholders of 16.68 billion yuan, both showing a year-on-year decline of approximately 14.5% [1]. - The gross profit margin remained stable at 37.2%, with a net profit margin of 19.2% in Q2 2024, indicating a slight improvement in profitability [1]. - The company expects net profits attributable to shareholders to reach 36.94 billion yuan, 43.45 billion yuan, and 49.75 billion yuan for the years 2024, 2025, and 2026 respectively, reflecting a growth trajectory [2]. Revenue and Profit Forecast - The projected total revenue for 2024 is 22.13 billion yuan, with a growth rate of 10.3% compared to 2023 [2]. - The net profit attributable to shareholders is expected to be 3.69 billion yuan in 2024, representing a growth rate of 10.6% [2]. - The earnings per share (EPS) is forecasted to be 1.74 yuan for 2024, with a price-to-earnings (PE) ratio of 20 [2]. Operational Efficiency - The company has shown improvement in operating cash flow, with a net cash flow from operating activities of 1.43 billion yuan in the first half of 2024 [1]. - The inventory turnover days are projected to decrease from 122.78 days in 2023 to 110.81 days by 2026, indicating enhanced operational efficiency [2]. Dividend Policy - The company has maintained a balanced approach to dividends, with a cumulative cash dividend of 1.46 billion yuan over the past three years, reflecting its commitment to shareholder returns [1].