WEIHAI GUANGTAI(SZ:002111) Soochow Securities·2024-09-02 16:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company's performance in the first half of 2024 met expectations, with a revenue of 1.284 billion RMB, a year-on-year increase of 20.18%, primarily driven by significant growth in international business. The net profit attributable to shareholders was 107 million RMB, reflecting an 85.16% year-on-year increase, indicating a notable improvement in profitability [1][2] - The company is focusing on technological innovation and global market expansion, accelerating its digital transformation. In the airport equipment sector, it secured a 178 million RMB order from Chongqing Airport, with domestic orders increasing by 105% to 550 million RMB and international orders rising by 142% to 510 million RMB [2] - The company has a strong emphasis on research and development, with 341 R&D personnel, accounting for 12.2% of the total workforce, and holds 533 patents, showcasing its robust innovation capabilities [2] Financial Performance - The company’s revenue forecast for 2024 is adjusted to 3.065 billion RMB, with net profit estimates revised to 306 million RMB for 2024 and 420 million RMB for 2025, reflecting strong growth potential [2] - The company’s asset-liability ratio stands at 46.60%, slightly up from 46.17% at the end of the previous year, indicating a relatively stable financial structure [1][5] - The net cash flow from operating activities was negative at -334 million RMB, suggesting that cash outflows exceeded inflows in the short term, which requires attention [1][9] Market Position - The company has improved its market share in the airport equipment sector and has seen significant growth in both domestic and international orders. It has also made breakthroughs in emergency rescue equipment and smart firefighting technology [2] - The company has been recognized as an "Industrial Internet Benchmark Factory" and operates seven production bases, leading the industry in product delivery cycles [2] Valuation Metrics - The current P/E ratio is 40.33 for 2023, expected to decrease to 16.57 in 2024 and further to 10.56 by 2026, indicating a potential for valuation improvement as earnings grow [4][9] - The projected EPS for 2024 is 0.58 RMB per share, with expectations of continued growth in subsequent years [1][9]