CGT GROUP(000066) 国海证券·2024-09-04 23:30Investment Rating - Buy (Maintained) [1] Core Views - The company's performance in H1 2024 showed recovery, with revenue from Feiteng increasing by 23% YoY [1] - The company's H1 2024 revenue reached approximately 6.08 billion yuan, with a net loss of 296 million yuan [2] - The company's H1 2024 operating income was about 6.08 billion yuan, a YoY increase of 21.23%, and the net profit attributable to the parent company improved by 33.37% [3] - The company's gross profit margin in H1 2024 was 17.18%, a YoY decrease of 4.66 percentage points, but the net profit margin improved, indicating effective cost control [4] - The company is expected to benefit from the deep development of the domestic IT industry, with projected revenues of 15.55 billion yuan, 18.79 billion yuan, and 21.65 billion yuan for 2024-2026, and net profits of 102 million yuan, 329 million yuan, and 550 million yuan, respectively [6] Business Segments Computing Industry - Revenue in H1 2024 was 4.70 billion yuan, a YoY increase of 37.04%, with a gross margin of 14.41%, a YoY decrease of 3.04 percentage points [2] - The company has made breakthroughs in financial, insurance, and transportation sectors, and has established partnerships with several well-known foreign brands [2] - The company has a leading position in the domestic AI server power supply market [2] System Equipment - Revenue in H1 2024 was 985 million yuan, a YoY decrease of 18.02%, with a gross margin of 22.33%, a YoY decrease of 7.67 percentage points [2] - Traditional business orders declined due to policy changes, but new business orders in marine informatization and special computing increased significantly [2] Feiteng - Revenue in H1 2024 was 608 million yuan, a YoY increase of 23%, with a net loss of 296 million yuan [2] - Feiteng has developed over 10 high-performance CPUs since 2014, with cumulative applications exceeding 8.5 million units [2] - Feiteng is accelerating the development of intelligent computing processors, aiming to create a "CPU+XPU" combination [2] Financial Performance - H1 2024 operating income was 6.08 billion yuan, a YoY increase of 21.23%, with a net profit attributable to the parent company of -422 million yuan, a YoY improvement of 33.37% [3] - Q2 2024 operating income was 3.41 billion yuan, a YoY increase of 21.30%, with a net profit attributable to the parent company of -172 million yuan, a YoY improvement of 47.56% [3] - The company's sales expense ratio, management expense ratio, and R&D expense ratio in H1 2024 were 3.60%, 7.00%, and 9.05%, respectively, showing significant reductions [4] Market Data - The company's current stock price is 8.04 yuan, with a 52-week price range of 7.25-12.65 yuan [4] - The company's total market capitalization is 25.94 billion yuan, with a circulating market capitalization of 25.30 billion yuan [4] - The company's average daily trading volume in the past month was 129.86 million yuan, with a turnover rate of 0.65% [2] Industry Outlook - The domestic IT industry is entering a deep development phase, with significant growth potential in the domestic server market [6] - Feiteng's ecosystem has over 6,500 partners, supporting more than 4,900 Feiteng platform devices and over 66,000 software adaptations [6] - Feiteng's products, including the S5000C, E2000, and D3000 CPUs, have been selected for the national IT security testing list, indicating strong market potential [6] Financial Projections - The company's revenue is projected to be 15.55 billion yuan, 18.79 billion yuan, and 21.65 billion yuan for 2024-2026, with net profits of 102 million yuan, 329 million yuan, and 550 million yuan, respectively [6] - The company's EPS is projected to be 0.03 yuan, 0.10 yuan, and 0.17 yuan for 2024-2026, with P/E ratios of 255.36, 78.77, and 47.15, respectively [7]