Investment Rating - The report assigns a target price of RMB 55.93, indicating a potential upside of 52% from the current valuation [11]. Core Insights - The company has seen significant revenue growth, with 2024H1 revenue reaching RMB 12.53 billion, a year-on-year increase of 45.98%. However, net profit attributable to shareholders was negative at RMB -154 million, down 176.17% year-on-year [2][14]. - The company is actively pursuing international expansion and has established new subsidiaries in Southeast Asia and the Middle East, enhancing its global service delivery capabilities [3][5]. - The company has successfully completed the acquisition of Tongfang Computer and Tongfang International, which are expected to enhance its product offerings and market position [5][14]. - The report highlights the company's advancements in AI capabilities and its commitment to developing AIPC products, showcasing new AI products at the 2024 World AI Conference [6][14]. - The company has achieved full-stack coverage of the HarmonyOS ecosystem, with significant investments in software development and successful commercial applications across various industries [7][14]. Financial Summary - For 2024E, the company is projected to achieve a revenue of RMB 31.07 billion, a significant increase of 76.7% compared to 2023. The net profit is expected to be RMB 655 million, with an EPS of RMB 0.69 [4][13]. - The report provides a detailed breakdown of revenue by business segments, indicating that digital technology services and computing products are key contributors to overall revenue [12][13]. - The company's gross profit margin is projected to decline to 13.8% in 2024E, down from 19.3% in 2023, reflecting increased competition and rising costs [4][13].
软通动力：经营改善，鸿蒙、AIPC进展顺利