LIUGONG(SZ:000528) Soochow Securities·2024-10-23 23:37Investment Rating - The report maintains a "Buy" rating for the company [1][3]. Core Views - The company's Q3 performance met expectations, with a significant year-on-year increase in revenue and net profit, driven by strong domestic and export sales, and continuous improvement in market share [2][3]. - The company has shown notable improvements in profitability due to cost reduction and efficiency enhancement initiatives following its mixed-ownership reform [2][3]. - The ongoing focus on electrification and internationalization is expected to contribute to revenue and profit growth, with electric loader sales increasing by 159% year-on-year [3]. Financial Performance Summary - For the first three quarters of 2024, the company achieved total revenue of 22.86 billion yuan, a year-on-year increase of 8.3%, and a net profit attributable to shareholders of 1.32 billion yuan, up 59.8% [2]. - The gross profit margin for Q1 to Q3 2024 was 23.5%, an increase of 2.8 percentage points year-on-year, while the net profit margin was 5.9%, up 2.0 percentage points [2][3]. - The company forecasts net profits of 1.57 billion yuan, 1.98 billion yuan, and 2.73 billion yuan for 2024, 2025, and 2026 respectively, with corresponding P/E ratios of 16, 12, and 9 times [3].