Investment Rating - The investment rating for the company is "Buy" (maintained) [2] Core Views - The company has experienced a significant increase in revenue, with a 32.76% year-on-year growth in H1 2024, reaching 6.6 billion yuan, while net profit has decreased by 24.89% year-on-year to 410 million yuan due to cost pressures [4][5] - The report anticipates that the company's profitability will improve as cost pressures gradually ease, supported by ongoing recovery in overseas demand and product structure optimization [4][5] Financial Performance Summary - H1 2024 revenue reached 6.6 billion yuan, with a year-on-year increase of 32.76%, while net profit was 410 million yuan, down 24.89% year-on-year [4] - Q2 2024 revenue was 3.77 billion yuan, reflecting a year-on-year growth of 34.3%, with net profit at 220 million yuan, down 23.3% year-on-year [4] - The company’s gross margin for H1 2024 was 13.9%, a decrease of 4.78 percentage points year-on-year, while the net margin was 6.2%, down 4.8 percentage points year-on-year [4][5] Business Segment Performance - In H1 2024, the company’s revenue from smart interactive displays, innovative displays, and smart TVs was 1.82 billion yuan, 650 million yuan, and 3.81 billion yuan, respectively, with year-on-year growth rates of 7.1%, 94.1%, and 52.7% [4] - The overseas revenue for H1 2024 was 5.53 billion yuan, up 33.7% year-on-year, while domestic revenue was 1.07 billion yuan, up 28.3% year-on-year [4] Cost and Profitability Outlook - The report indicates that the company has increased its investment in expenses to support innovation and brand building, which is expected to help restore profit margins once costs stabilize [4][5] - The company’s EPS for 2024 is projected to be 1.53 yuan, with a corresponding P/E ratio of 12.9 times [5]
康冠科技：公司信息更新报告：下游高景气出货量快增，成本转嫁滞后利润短期承压