Baosight(SH:600845) ZHONGTAI SECURITIES·2024-08-31 03:00Investment Rating - The investment rating for the company is "Buy" (maintained) with a market price of 29.1 CNY [1]. Core Insights - The company reported steady growth in performance, with a revenue of 6.743 billion CNY for the first half of 2024, representing an 18.77% year-on-year increase. The net profit attributable to shareholders was 1.331 billion CNY, up 14.56% year-on-year [7]. - The company is focusing on the development of large PLCs and the industrial application of robotics, positioning itself as a leader in the domestic steel informationization sector [9]. - The company is actively leveraging AI opportunities to enhance its operations and is developing a steel industry AI model platform [9]. Financial Performance Summary - Total revenue for 2022 was 13.15 billion CNY, with a projected increase to 15.65 billion CNY in 2024, reflecting a growth rate of 21% year-on-year [6]. - The net profit for 2022 was 2.186 billion CNY, expected to rise to 3.021 billion CNY in 2024, indicating a growth rate of 21% [6]. - The earnings per share (EPS) is projected to be 1.05 CNY in 2024, increasing to 1.62 CNY by 2026 [6]. Business Segment Performance - Software development and engineering services generated 5.087 billion CNY in revenue for the first half of 2024, a 27.23% increase year-on-year [7]. - The gross margin for the software development segment was 32.24%, a decrease of 3.8 percentage points year-on-year [7]. - The company has successfully developed and implemented its proprietary SCADA software, which has been applied in various industries, including steel and rail transit [8]. Future Outlook - The company is expected to benefit from the growth in the industrial robot market and the increasing demand for AI applications in manufacturing [9]. - The net profit forecasts for 2024, 2025, and 2026 are adjusted to 3.021 billion CNY, 3.656 billion CNY, and 4.664 billion CNY, respectively [9].