XCMG(000425) Huaxin Securities·2024-09-30 06:40Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [2][3]. Core Insights - The company is focusing on high-end products and has seen a significant increase in revenue from new energy products, which grew by 26.8% year-on-year in the first half of 2024 [2]. - The proportion of overseas revenue has increased, reaching 44.13% in the first half of 2024, with overseas business income amounting to 21.901 billion yuan, a year-on-year increase of 4.80% [2]. - The company's gross profit margin improved to 22.89% in the first half of 2024, with a net profit margin of 7.52%, reflecting enhanced profitability [2]. Summary by Sections High-End Products and New Energy Growth - The company has positioned high-end products as a key focus for structural adjustment, achieving over 10% year-on-year revenue growth in high-end products, which now account for over 32% of total revenue [2]. - New energy loaders saw revenue growth of nearly 100%, contributing to 23.3% of total revenue, while new energy forklifts experienced an 80.6% year-on-year increase [2]. International Expansion - The company is committed to its "internationalization strategy," with overseas product sales showing a comprehensive market share increase of 0.58 percentage points year-on-year [2]. - The gross profit margin for overseas operations was 24.41%, which is 2.72 percentage points higher than domestic margins, indicating improved profitability from international markets [2]. Profitability and Cash Flow - The company reported a net operating cash flow of 1.706 billion yuan in the first half of 2024, reflecting a 10.96% year-on-year improvement [2]. - The report forecasts significant revenue growth for the company, projecting revenues of 99.93 billion yuan, 109.56 billion yuan, and 127.46 billion yuan for 2024, 2025, and 2026 respectively [3].