ANHUI ZHONGDING(SZ:000887) Southwest Securities·2024-09-02 05:56Investment Rating - The report maintains a "Buy" rating for the company [1] Core Insights - The company reported a revenue of 9.669 billion yuan for H1 2024, representing a year-on-year increase of 18.08%. The net profit attributable to shareholders was 716 million yuan, up 34.83% year-on-year [2] - The company has shown strong growth in its smart chassis systems and sealing systems, with significant revenue increases across various segments [2][3] - The company is actively expanding its presence in the new energy sector, with revenue from this area reaching 3.34 billion yuan, accounting for 36.38% of total automotive revenue in H1 2024 [2] Summary by Sections Financial Performance - In Q2 2024, the company achieved a revenue of 4.977 billion yuan, with a year-on-year growth of 14.96% and a quarter-on-quarter growth of 6.07%. The net profit for the same period was 355 million yuan, reflecting a year-on-year increase of 32.17% [2] - The overall gross margin for Q1 and Q2 2024 was 22.42% and 22.05%, respectively, showing a year-on-year increase [2] Business Segments - Revenue from the smart chassis air suspension system, lightweight materials, rubber products, cooling systems, and sealing systems for H1 2024 was 570 million, 1.43 billion, 1.93 billion, 2.54 billion, and 1.94 billion yuan, respectively, with notable year-on-year growth rates [2] - The sealing business, through overseas acquisitions, has seen steady growth, with KACO China reporting a revenue of 403 million yuan in H1 2024, up 19.3% year-on-year [3] Market Position and Strategy - The company has established a leading position in the domestic air suspension market through the acquisition of AMK, with significant orders from various domestic automakers [3] - The lightweight system segment has also seen global expansion, with orders totaling approximately 4.6 billion yuan in H1 2024 [5] Future Outlook - The company is expected to maintain a compound annual growth rate (CAGR) of 18.9% in net profit from 2024 to 2026, supported by ongoing business expansion and order growth [5]