supor(002032) 光大证券·2024-09-10 01:39Investment Rating - The report maintains a "Buy" rating for Supor (002032 SZ) with a current price of 50 16 RMB [1] Core Views - Supor's export growth exceeded expectations and the company launched a 2024 incentive plan [1] - The company achieved revenue of 10 96 billion RMB in H1 2024 a YoY increase of 9 8% and net profit attributable to the parent company of 940 million RMB a YoY increase of 6 8% [4] - In Q2 2024 revenue reached 5 59 billion RMB a YoY increase of 11 3% and net profit attributable to the parent company was 470 million RMB a YoY increase of 6 4% [4] - The company's export business grew significantly with a 39 3% YoY increase in H1 2024 driven by the recovery of demand in European and American markets and the synergy with SEB [5] - The company's gross margin in Q2 2024 was 24 4% a YoY decrease of 1 percentage point mainly due to changes in the structure of domestic and export sales and fluctuations in raw material prices [5] - The company's net cash in H1 2024 was 2 11 billion RMB a YoY decrease of 12 5% mainly due to dividend payments [5] - The company's accounts receivable increased by 44 7% YoY in H1 2024 mainly due to the increase in export business receivables [5] - The company's operating cash flow in H1 2024 was 549 million RMB a YoY decrease of 1 08% [5] Financial Forecasts and Valuation - The report maintains the forecast for the company's net profit attributable to the parent company for 2024-2026 at 2 37 billion 2 58 billion and 2 80 billion RMB respectively [5] - The current stock price corresponds to a PE ratio of 17 16 and 14 times for 2024-2026 [5] - The company's ROE (diluted) is expected to be 36 36% 38 35% and 40 34% for 2024-2026 [7] - The company's EPS is expected to be 2 93 3 19 and 3 47 RMB for 2024-2026 [7] - The company's revenue is expected to grow at a rate of 6 78% 7 60% and 8 20% for 2024-2026 [7] Business Performance - In H1 2024 the revenue from cookware products cooking appliances food processing appliances and other household appliances were 2 94 billion 4 64 billion 1 90 billion and 1 48 billion RMB respectively with YoY growth rates of 17 0% 3 3% 12 4% and 15 5% [5] - The domestic sales revenue in H1 2024 was 7 51 billion RMB a YoY increase of 0 1% while export sales revenue was 3 46 billion RMB a YoY increase of 39 3% [5] - The company's sales expense ratio in Q2 2024 was 9 85% a YoY decrease of 1 1 percentage points while the management expense ratio and R&D expense ratio were 1 8% and 2 0% respectively [5] Incentive Plan - The company plans to grant stock options to 57 middle and senior management personnel and core employees with a total of 1 131 million shares accounting for 0 141% of the company's total share capital [6] - The exercise price of the stock options is 37 89 RMB per share and the performance assessment target for 2024 2025 is a ROE of no less than 26% [6]