Southwest Securities·2024-08-31 11:00Investment Rating - The report maintains a "Buy" rating for Zoomlion Heavy Industry Science and Technology Co., Ltd. (stock code: 000157) [1] Core Views - The company achieved a revenue of 24.54 billion yuan in H1 2024, representing a year-on-year increase of 1.9%. The net profit attributable to shareholders was 2.29 billion yuan, up 12.2% year-on-year [2] - The overseas revenue grew by 43.9% year-on-year, contributing significantly to the overall revenue growth. The overseas business accounted for 49.1% of total revenue, an increase of 14.3 percentage points year-on-year [2] - The company's gross profit margin improved to 28.3%, up 0.4 percentage points year-on-year, driven by an optimized product structure and a higher proportion of high-margin overseas business [2] Summary by Sections Financial Performance - In H1 2024, the company reported a revenue of 245.4 billion yuan, with a net profit of 22.9 billion yuan. The net profit margin was 10.4%, an increase of 1.2 percentage points year-on-year [2] - For Q2 2024, the revenue was 127.6 billion yuan, down 6.5% year-on-year, while the net profit was 13.7 billion yuan, up 11.6% year-on-year [2] Product and Market Development - The engineering machinery segment generated 219.9 billion yuan in revenue, a decrease of 3.3% year-on-year, but with an improved gross margin of 29.2% [2] - New segments such as earthmoving, aerial, and agricultural machinery showed strong growth, with agricultural machinery revenue increasing by 112.5% year-on-year [2] Profit Forecast and Valuation - The forecast for net profit attributable to shareholders for 2024-2026 is 44.5 billion, 58.9 billion, and 71.3 billion yuan, respectively. The current stock price corresponds to a PE ratio of 12, 9, and 8 times for the next three years, with a projected compound annual growth rate of 27% for net profit [2][3]