Sunrise(300360) Haitong Securities·2024-10-25 00:08Investment Rating - The investment rating for the company is "Outperform the Market" [2] Core Views - The company has experienced rapid revenue growth in the first three quarters of 2024, with a year-on-year increase of 23.85%, and a net profit attributable to shareholders growing by 22.47% [6][9] - The company is benefiting significantly from the upgrade and replacement cycle in the smart meter industry, with a 25% year-on-year increase in the bidding volume for smart meters by the State Grid in 2024 [6][7] Financial Performance Summary - For the first three quarters of 2024, the company achieved revenue of 1.546 billion yuan, a 23.85% increase year-on-year, with a comprehensive gross margin of 47.96%, up 4.09 percentage points [6] - The net profit attributable to shareholders for the same period was 542 million yuan, reflecting a 22.47% year-on-year growth, while the net profit excluding non-recurring items was 563 million yuan, up 44.28% [6] - In Q3 2024, the company reported revenue of 531 million yuan, a 34.86% increase year-on-year, and a net profit of 201 million yuan, which is a 48.75% increase year-on-year [6][10] Expense Ratios - The company's expense ratio for the first three quarters of 2024 was 6.96%, a decrease of 2.76 percentage points year-on-year, with reductions in sales, management, financial, and R&D expense ratios [6] - In Q3 2024, the expense ratio was 8.10%, down 1.32 percentage points year-on-year, with specific decreases in sales and management expense ratios [6][10] Future Projections - The company is expected to maintain a leading market share in the smart meter sector and is projected to achieve net profits of 696 million yuan, 800 million yuan, and 921 million yuan for 2024, 2025, and 2026 respectively, with corresponding EPS of 1.35 yuan, 1.56 yuan, and 1.79 yuan [9][12] - The estimated revenue for 2024 is projected to be 2.063 billion yuan, reflecting a year-on-year growth of 16.5% [12] Valuation - The company is assigned a PE ratio of 15-18x for 2024, with a reasonable valuation range of 20.25 yuan to 24.30 yuan [9]