SANHUA(SZ:002050) Huachuang Securities·2024-09-01 11:41Investment Rating - The report maintains a "Strong Buy" rating for the company, with a target price of 25 yuan, compared to the current price of 17.34 yuan [2][3]. Core Insights - The company reported a revenue of 13.68 billion yuan for the first half of 2024, representing a year-on-year increase of 9.2%, and a net profit attributable to shareholders of 1.52 billion yuan, up 8.6% year-on-year [2][3]. - The gross profit margin improved, reflecting the company's ability to reduce costs and enhance efficiency, with a Q2 gross margin of 27.8%, an increase of 1.8 percentage points year-on-year [3]. - The company plans to distribute a cash dividend of 1 yuan per 10 shares, totaling 373 million yuan, indicating confidence in its financial health [3]. Revenue Breakdown - In H1 2024, the refrigeration and automotive parts segments generated revenues of 8.28 billion yuan and 5.40 billion yuan, respectively, with year-on-year growth rates of 7.4% and 11.9% [3]. - Domestic revenue reached 7.83 billion yuan, up 15.5% year-on-year, while overseas revenue was 5.85 billion yuan, a modest increase of 1.7% [3]. Profitability Analysis - The net profit margins for the refrigeration and automotive parts segments were 9.8% and 13.1%, respectively, with the automotive parts segment expected to contribute more to overall profitability in the future [3]. - The company’s Q2 net profit margin was 12.1%, reflecting a 0.3 percentage point increase year-on-year [3]. Future Outlook - The company is actively developing new business lines, particularly in the bionic robotics sector, which is expected to create a third growth curve [3]. - Adjustments to profit forecasts for 2024, 2025, and 2026 are made to 3.32 billion yuan, 3.92 billion yuan, and 4.68 billion yuan, respectively, with corresponding P/E ratios of 20, 17, and 14 [3].