XCMG(SZ:000425)2024-09-05 04:39Investment Rating - The report maintains a "Buy" rating for the company [5][6]. Core Views - The company's performance in the first half of 2024 met expectations, with revenue of 49.632 billion, a year-on-year decline of 3.21%, and a net profit attributable to shareholders of 3.706 billion, a year-on-year increase of 3.24% [5][6]. - The report highlights a recovery in earth-moving machinery, with overseas demand remaining relatively strong [6][7]. - The gross margin remained stable at 22.89%, while the net margin slightly improved to 7.52% [7]. - The company is expanding its high-end product offerings, with revenue from high-end products growing over 10% year-on-year [7]. - Profit forecasts have been adjusted downward due to macroeconomic fluctuations and industry demand uncertainties, with projected net profits for 2024-2026 being 6.436 billion, 7.653 billion, and 9.211 billion respectively [6][7]. Summary by Sections Market Data - Closing price: 6.36 yuan - One-year high/low: 8.14/4.91 yuan - Market capitalization: 51,644 million yuan [2]. Financial Data - Net asset per share: 5.05 yuan - Debt-to-asset ratio: 63.27% [3]. Revenue Breakdown - Total revenue for the first half of 2024: 49.632 billion, with a year-on-year decline of 3.21% - Q2 revenue: 25.458 billion, a year-on-year decline of 7.04% [5][6]. - Revenue by product: Earth-moving machinery: 13.908 billion (up 6.98%), lifting machinery: 10.096 billion (down 15.23%), and concrete machinery: 5.156 billion (down 3.45%) [6]. - Domestic revenue: 27.731 billion (down 8.72%), overseas revenue: 21.901 billion (up 4.80%) [6]. Profitability Metrics - Gross margin: 22.89%, net margin: 7.52% [7]. - Year-on-year changes in gross margin by product: Earth-moving machinery: 27.17% (down 1.66pct), lifting machinery: 21.46% (up 0.12pct) [7]. Future Projections - Projected total revenue for 2024: 93.228 billion, with a slight year-on-year increase of 0.4% [8]. - Projected net profit for 2024: 6.436 billion, with a year-on-year increase of 20.8% [8].