KFMI(300666) KAIYUAN SECURITIES·2024-10-24 03:07Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has shown continuous growth in its performance, with Q3 2024 revenue and net profit both increasing on a year-on-year and quarter-on-quarter basis. The revenue for the first three quarters of 2024 reached 2.625 billion yuan, up 41.77% year-on-year, while the net profit attributable to shareholders was 287 million yuan, up 48.51% year-on-year [3][4] - The growth is primarily driven by the global integrated circuit industry, which has positively impacted the demand for ultra-pure target materials, and the rapid expansion of the company's precision components product line [3][4] - The company maintains its profit forecast, expecting net profits of 353 million, 460 million, and 600 million yuan for 2024, 2025, and 2026 respectively, with current stock prices corresponding to P/E ratios of 49.0, 37.6, and 28.9 times [3][4] Financial Performance Summary - For Q3 2024, the company achieved revenue of 999.8 million yuan, a year-on-year increase of 52.48% and a quarter-on-quarter increase of 16.69%. The net profit for the same quarter was 126 million yuan, up 213.13% year-on-year and 23.85% quarter-on-quarter [3] - The company has increased its R&D investment, reaching 165 million yuan in the first three quarters of 2024, a year-on-year increase of 42.45%, with an R&D expense ratio of 6.29% [4] - The company has also been actively repurchasing shares, indicating management's confidence in the company's future development [5] Financial Forecast Summary - The company's projected revenue and net profit for the upcoming years are as follows: - 2024E Revenue: 3.38 billion yuan, Net Profit: 353 million yuan - 2025E Revenue: 4.469 billion yuan, Net Profit: 460 million yuan - 2026E Revenue: 5.887 billion yuan, Net Profit: 600 million yuan [6][7] - Key financial ratios for 2024E include a gross margin of 30.7%, a net margin of 9.4%, and a return on equity (ROE) of 7.2% [6][8]