Willfar(688100) 财信证券·2024-10-27 03:30Investment Rating - Buy rating maintained with a current price of 42.19 CNY [1] Core Views - Strong growth in overseas business and robust cash flow performance [5] - New products continue to gain traction, with distributed photovoltaic solutions achieving large-scale applications [4] - Overseas market growth accelerated in Q3, with overseas revenue increasing by 105.85% YoY [4] - R&D investment grew by 9.14%, and the R&D team expanded [4] - New contracts increased by 13.61% YoY, with a total contract value of 3.766 billion CNY by the end of Q3 [4] - Repurchased shares of 8.315 million were canceled, enhancing shareholder returns [7] Financial Performance - Q3 revenue reached 719 million CNY, up 10.60% YoY, but down 7.23% QoQ [4] - Net profit attributable to shareholders in Q3 was 151 million CNY, up 14.48% YoY, but down 6.21% QoQ [4] - Operating cash flow in Q3 was 232 million CNY, up 31.8% YoY and 125.24% QoQ [7] - Gross margin in Q3 was 40.20%, down 0.4 pcts YoY but up 3.67 pcts QoQ [7] - Net margin in Q3 was 20.96%, up 0.7 pcts YoY and 0.17 pcts QoQ [7] Revenue and Profit Forecast - Revenue forecast for 2024-2026: 2.78 billion CNY, 3.37 billion CNY, and 4.02 billion CNY [7] - Net profit forecast for 2024-2026: 642 million CNY, 763 million CNY, and 901 million CNY [7] - EPS forecast for 2024-2026: 1.31 CNY, 1.55 CNY, and 1.83 CNY [7] Product and Market Performance - Communication module products grew by 22.27% YoY, contributing 30.88% of total revenue [4] - New products generated 900 million CNY in revenue, up 47% YoY, accounting for 32.4% of total revenue [4] - Distributed photovoltaic solutions have been applied in over 100,000 renovation projects in 2024 [4] R&D and Innovation - R&D expenses in the first three quarters were 176 million CNY, up 9.14% YoY, accounting for 9.07% of revenue [4] - 18 new patents were added, including 11 invention patents, bringing the total to 717 patents [4] - R&D team expanded to 447 people, an increase of 25 from the previous quarter [4] Contract and Order Status - New contracts signed in the first three quarters amounted to 2.559 billion CNY, up 13.61% YoY [4] - Total contract value by the end of Q3 was 3.766 billion CNY, up 28.70% YoY [4]