GenTech(688596) 东吴证券·2024-09-02 10:10Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 26.89 yuan [1][5] Core Views - The company's Q2 2024 performance showed significant growth, with revenue reaching 1.852 billion yuan, a year-on-year increase of 37.8%, and net profit attributable to shareholders of 105 million yuan, a year-on-year decrease of 30% [2][9] - The company's R&D investment increased, leading to a slight decline in profitability, with a gross margin of 26.9% in the first half of 2024, down 1.47 percentage points year-on-year [2][11] - The company's inventory and contract liabilities increased significantly, with contract liabilities reaching 2.61 billion yuan, a year-on-year increase of 41%, and inventory reaching 3.91 billion yuan, a year-on-year increase of 33% [2][14] - The company's process media supply system business continues to expand, with strong growth potential in GasBox and MRO businesses [3][18] - The company's forward-looking profit forecast for 2024-2026 estimates net profit attributable to shareholders at 570 million, 780 million, and 1.024 billion yuan, respectively, with corresponding P/E ratios of 13, 10, and 7 times [3][19] Financial Performance - The company's revenue in Q2 2024 was 1.264 billion yuan, a year-on-year increase of 35%, and a quarter-on-quarter increase of 114.6% [2][9] - The company's net profit attributable to shareholders in Q2 2024 was 80 million yuan, a year-on-year decrease of 42%, and a quarter-on-quarter increase of 221.4% [2][9] - The company's gross margin in Q2 2024 was 26.7%, down 0.4 percentage points year-on-year and 0.73 percentage points quarter-on-quarter [2][11] - The company's net profit margin in Q2 2024 was 7.08%, down 9.2 percentage points year-on-year and up 1.13 percentage points quarter-on-quarter [2][11] Business Segments - The company's process media supply system business is in a leading position domestically, serving major clients in the semiconductor industry such as SMIC, Yangtze Memory, and ChangXin [3][18] - The company's GasBox products are being supplied in bulk to leading domestic semiconductor and photovoltaic equipment manufacturers [3][18] - The company's MRO business has the potential to maintain a high gross margin, with the company now capable of providing comprehensive MRO services [3][18] - The company's precursor manufacturing base in Tongling is expected to start production in Q3 2024, covering over 20 precursor products across four categories [3][18] Market Data - The company's closing price was 26.89 yuan, with a one-year low/high of 24.26/42.59 yuan [5] - The company's P/B ratio was 2.47, with a circulating A-share market value of 7.73 billion yuan and a total market value of 7.73 billion yuan [5] - The company's net asset per share was 10.87 yuan, with a total share capital of 287.49 million shares and a circulating A-share capital of 287.49 million shares [6]