Shanghai YanPu(SH:605128) Huaan Securities·2024-09-03 02:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has recently received a project designation letter from a major new energy vehicle manufacturer, marking a significant breakthrough in its business model [1] - The project includes three new platform-type seat frame projects, with expected mass production dates in March and July 2025 [1] - The total revenue generated from these projects is estimated to be 2.269 billion RMB over a lifecycle of five years, from 2025 to 2029 [1] - The company is transitioning from being a Tier 1 supplier to a Tier 2 supplier, indicating a shift in its role within the supply chain [1] - The company is expected to see substantial growth in its seat business, with net profit forecasts for 2024, 2025, and 2026 at 173 million, 250 million, and 341 million RMB respectively, reflecting growth rates of 90%, 44%, and 37% [1][5] Financial Summary - Revenue for 2023 is projected at 1.519 billion RMB, with significant growth expected in subsequent years: 2.628 billion RMB in 2024, 3.492 billion RMB in 2025, and 4.036 billion RMB in 2026 [4] - The net profit for 2023 is estimated at 91 million RMB, increasing to 173 million RMB in 2024, 249 million RMB in 2025, and 341 million RMB in 2026 [4][5] - The company's gross margin is expected to stabilize around 16% in 2025 and improve to 17% by 2026 [5] - The company's cash flow from operating activities is projected to increase significantly from 53 million RMB in 2023 to 652 million RMB in 2026 [3]