GAONA(SZ:300034) Soochow Securities·2024-10-28 23:42Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company has achieved a revenue of 2.533 billion yuan in the first three quarters of 2024, representing a year-on-year increase of 4.74%. However, the net profit attributable to the parent company is 235 million yuan, showing a slight decline of 0.17% year-on-year [1] - The company is expanding its sales scale and has a strong technical reserve in high-temperature alloys, particularly benefiting from demand growth in aerospace, power, automotive, and metallurgy sectors [1][2] - The company plans to issue shares to its controlling shareholder, China Steel Research, to raise up to 280 million yuan, which will be used to supplement working capital and enhance financial stability [3] Financial Performance Summary - Total revenue (in million yuan) is projected to grow from 3,408 in 2023 to 4,128 in 2024, with a year-on-year growth rate of 21.14% [9] - The net profit attributable to the parent company is expected to increase from 416 million yuan in 2024 to 629 million yuan in 2026, with corresponding growth rates of 30.46% and 18.91% [9] - The company’s earnings per share (EPS) is forecasted to rise from 0.54 yuan in 2024 to 0.81 yuan in 2026 [9] Cash Flow and Financial Health - The company experienced a significant decrease in cash flow from operating activities, with a net cash flow of 24 million yuan projected for 2024, down from 526 million yuan in 2023 [10] - The company’s short-term borrowings increased by 32.15%, indicating a rise in bank loans to support business expansion [2] - The asset-liability ratio is projected to decrease from 48.38% in 2023 to 44.07% in 2026, reflecting improved financial stability [10]