Deye(SH:605117) Huafu Securities·2024-09-09 03:21Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected stock price increase of over 20% relative to the market benchmark index within the next six months [11]. Core Insights - The company reported a revenue of 4.75 billion yuan for H1 2024, a year-on-year decrease of 3%, with a net profit of 1.24 billion yuan, down 2.2% year-on-year. However, Q2 2024 showed a revenue increase of 2% year-on-year and a significant 52.1% increase quarter-on-quarter [2]. - The demand for energy storage in emerging markets has driven growth, with a 60% increase in energy storage inverter shipments in Q2 2024 compared to the previous quarter [2]. - The company has adjusted its net profit forecasts for 2024-2026 to 3.22 billion, 4.01 billion, and 4.85 billion yuan, respectively, reflecting a year-on-year growth of 80%, 24%, and 21% [2]. Financial Performance Summary - For H1 2024, the company achieved a revenue of 4.75 billion yuan, with a net profit of 1.24 billion yuan, and a non-recurring net profit of 1.16 billion yuan, showing a decline of 16.2% year-on-year [2]. - The energy storage inverter segment generated a revenue of 1.61 billion yuan in H1 2024, down 36% year-on-year, with shipments of 214,100 units, a decrease of 29% year-on-year [2]. - The battery pack business saw a revenue increase of 75% year-on-year, reaching 765 million yuan, with shipments of approximately 160,000 units, a 156% increase year-on-year [3]. Market and Business Outlook - The company is expected to continue benefiting from the growing demand for energy storage solutions in Asia, Africa, and Latin America, with a strong growth outlook for its inverter business [2]. - The report highlights the company's excellent cost control capabilities, with a period expense rate of 8.1% for H1 2024, indicating efficient management of operational costs [3]. - The company anticipates a significant increase in shipments for Q3 2024, projecting over 200,000 units for the battery pack segment, surpassing H1 2024 levels [3].