ECT(SZ:300679) KAIYUAN SECURITIES·2024-09-01 09:30Investment Rating - The investment rating for the company is "Buy" (maintained) [2] Core Views - The company's H1 2024 performance met expectations, with revenue of 2.144 billion yuan, a year-on-year increase of 57.11%, and a net profit attributable to shareholders of 308 million yuan, up 145.77% year-on-year [1][3] - The growth in revenue is primarily driven by the recovery in the global consumer electronics industry and the introduction of new clients in the automotive high-frequency and high-speed connector business [1] - The company maintains a positive outlook on long-term development, particularly in the automotive electronics sector, and forecasts net profits of 620 million, 820 million, and 1.05 billion yuan for 2024, 2025, and 2026 respectively [1][3] Financial Summary - For H1 2024, the company achieved revenue of 2.144 billion yuan, with a gross profit margin of 32.37% [1] - In Q2 2024, the company reported revenue of 1.104 billion yuan, a year-on-year increase of 47.51% [1] - The automotive connector business showed the fastest growth, with a year-on-year increase of 90.28% [3] - The company’s revenue from various segments in H1 2024 includes RF connectors and cable assemblies at 496 million yuan (YoY +40.92%), EMC components at 449 million yuan (YoY +15.46%), flexible circuit boards at 260 million yuan (YoY +72.39%), and automotive connectors at 597 million yuan (YoY +90.28%) [3] Valuation Metrics - The current stock price is 32.18 yuan, with a market capitalization of 13.637 billion yuan [2] - The projected P/E ratios for 2024, 2025, and 2026 are 22.0, 16.6, and 13.0 respectively [1][5] - The company’s total assets are projected to reach 76.11 billion yuan by 2024, with a net profit margin of 15.3% [6][7]