Shanghai YanPu(SH:605128) Minsheng Securities·2024-10-05 12:12Investment Rating - The report maintains a "Recommended" rating for the company with a current price of 32.45 CNY [1]. Core Views - The company is expected to achieve a net profit of 107 million CNY for the first three quarters of 2024, representing a year-on-year increase of 68.18%. The net profit for Q3 2024 is projected to be 45 million CNY, showing a year-on-year increase of 41.38% and a quarter-on-quarter increase of 50.84% [2]. - The growth in performance is attributed to several factors, including the acceleration of new project mass production, increased market orders, improved capacity utilization, and strict cost control [2][4]. - The company has received new project notifications from four clients, which are expected to generate approximately 2.352 billion CNY in revenue over their lifecycle, significantly contributing to future earnings [2][4]. Summary by Sections Financial Performance - The company forecasts revenues of 2.482 billion CNY in 2024, 3.278 billion CNY in 2025, and 4.191 billion CNY in 2026, with corresponding net profits of 173 million CNY, 237 million CNY, and 330 million CNY respectively [5][6]. - The projected growth rates for revenue are 63.43% in 2024, 32.09% in 2025, and 27.85% in 2026 [5][6]. Business Expansion - The company is expanding its client base and product offerings, moving from seat frames to include door molds, safety systems, and components for new energy vehicles [4]. - The company has successfully bid for a railway container project worth 587 million CNY, which is expected to enhance future performance [4]. Market Position - The company is positioned as a leader in the automotive seat frame market and is expected to benefit from trends in electric and intelligent vehicle manufacturing [4]. - The anticipated annual revenue contribution from new projects is estimated at 532 million CNY, accounting for 35.06% of the company's total revenue in 2023 [2].