BNBMPLC(SZ:000786) Guotou Securities·2024-10-25 12:23Investment Rating - The investment rating for the company is "Buy - A" with a 12-month target price of 37.18 CNY [4]. Core Views - The company continues to show strong revenue growth, achieving 20.44 billion CNY in revenue for Q3 2024, a year-on-year increase of 19.82% [1][2]. - The net profit attributable to shareholders for Q3 2024 was 9.31 billion CNY, reflecting a year-on-year growth of 8.23% [1]. - The company is expected to benefit from ongoing real estate policy relaxations, which may lead to valuation improvements and better fundamentals [6]. Revenue and Profitability - For the first three quarters of 2024, the company reported revenue of 203.64 billion CNY, up 19.44% year-on-year, with quarterly growth rates of 25.82%, 14.61%, and 19.82% respectively [2][3]. - The gross profit margin for Q3 2024 was 30.07%, a decrease of 1.93 percentage points year-on-year, attributed to increased competition and rising costs [3]. - The operating cash flow for the first three quarters of 2024 was 27.06 billion CNY, showing a significant year-on-year increase of 38.01% [3]. Financial Forecasts - Revenue projections for 2024, 2025, and 2026 are 279.70 billion CNY, 311.04 billion CNY, and 344.53 billion CNY, respectively, with year-on-year growth rates of 24.72%, 11.21%, and 10.77% [6]. - The expected net profit for the same years is 42.57 billion CNY, 48.30 billion CNY, and 54.31 billion CNY, with corresponding growth rates of 20.79%, 13.46%, and 12.45% [6]. - The dynamic PE ratios for 2024, 2025, and 2026 are projected to be 12.8x, 11.3x, and 10.1x, respectively [6]. Market Position and Strategy - The company is a leading player in the gypsum board industry and is actively expanding into home decoration and high-end product segments [6]. - The acquisition of Jia Baoli is expected to enhance the company's position in the waterproofing and coatings market, contributing to revenue growth [6].