Inovance(300124) 国海证券·2024-08-29 04:39Investment Rating - Maintained "Overweight" rating for the company [1] Core Views - The company achieved rapid revenue growth in 2024Q2, with a year-on-year increase of 29 98% in H1 2024 [2] - Overseas expansion continues to gain momentum, with overseas revenue increasing by 16 78% year-on-year in H1 2024 [3] - The company's new energy vehicle and rail transit business saw significant growth, with revenue increasing by 96 26% year-on-year in H1 2024 [3] Financial Performance - In 2024Q2, the company's revenue reached 9 691 billion yuan, a year-on-year increase of 26 36% and a quarter-on-quarter increase of 49 27% [2] - Net profit attributable to the parent company in 2024Q2 was 1 307 billion yuan, a year-on-year decrease of 1 72% but a quarter-on-quarter increase of 61 12% [2] - Gross margin in H1 2024 was 31 77%, a year-on-year decrease of 4 50 percentage points, mainly due to increased competition and a higher proportion of low-margin new energy vehicle and rail transit business [5] Business Segments - General automation business revenue in H1 2024 was 7 520 billion yuan, a year-on-year increase of 9 70% [3] - Smart elevator electrical business revenue in H1 2024 was 2 331 billion yuan, a year-on-year decrease of 1 56% [3] - New energy vehicle and rail transit business revenue in H1 2024 was 6 229 billion yuan, a year-on-year increase of 96 26% [3] Overseas Expansion - The company established new subsidiaries and offices in Vietnam and built a new factory in Thailand, bringing the total number of global subsidiaries and offices to 18 [3] - The company secured bulk orders in the elevator, injection molding, and 3C industries in the Asian market and established partnerships with top global clients in the European market [3] Profit Forecast - Revenue for 2024 is expected to reach 36 958 billion yuan, with a year-on-year growth rate of 21% [6] - Net profit attributable to the parent company for 2024 is expected to be 5 089 billion yuan, with a year-on-year growth rate of 7% [6] - The current price corresponds to a PE ratio of 22 5x for 2024 [6] Valuation Metrics - The company's current price is 42 75 yuan, with a total market capitalization of 114 490 57 million yuan [2] - The 52-week price range is 39 17-70 56 yuan [2] - The average daily trading volume is 778 55 million yuan, with a turnover rate of 0 58% in the past month [2]