Hangcha (603298) Huaxin Securities·2024-09-30 06:40Investment Rating - The report assigns a "Buy" rating for Hangcha Group (603298.SH) [2] Core Views - The company is experiencing continuous market expansion with both revenue and profit growth. The electric vehicle trend is significant, and the company's advanced layout in new energy products demonstrates its competitive advantage. In the first half of 2024, sales of Class I, II, and III vehicles all achieved year-on-year growth, with electric forklifts accounting for 70.77% of total sales, and the proportion of electric forklifts in the balanced heavy-duty forklift segment reaching 31.97% [2][4] - The company has established a comprehensive manufacturing system for new energy industrial vehicles, focusing on lithium batteries, hydrogen energy, and hybrid power. It has also developed core technologies for new energy industrial vehicles and launched several industry-first new energy products, solidifying its position as a leading manufacturer in the sector [2][4] - The company is deepening its international market presence, with overseas sales revenue increasing from 15.23% in 2020 to 40.16% in 2023. The company has invested in establishing direct sales companies in multiple countries, including the United States, Germany, and Brazil, and is expected to see further revenue contributions from international markets [2][4] Summary by Sections Financial Performance - The company is projected to achieve revenues of 178.48 billion, 199.93 billion, and 225.77 billion yuan for the years 2024, 2025, and 2026, respectively. The earnings per share (EPS) are forecasted to be 1.54, 1.77, and 1.97 yuan for the same years. The current stock price corresponds to price-to-earnings (PE) ratios of 13.2, 11.5, and 10.3 times for 2024, 2025, and 2026, respectively [4][5] - The company's main revenue for 2023 is estimated at 16,272 million yuan, with a growth rate of 12.9%. The net profit attributable to shareholders is projected to be 1,720 million yuan, reflecting a significant growth rate of 74.2% [5][6] Production and Manufacturing - The company is implementing smart manufacturing strategies, utilizing technologies such as digital twins, 5G applications, and industrial internet to innovate production processes. It has established a smart manufacturing super factory that integrates various industries, including parts manufacturing and logistics [2][3]