Sunrise(300360) Tai Ping Yang·2024-10-29 00:42Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected relative price increase of over 15% compared to the CSI 300 index in the next six months [6][7]. Core Views - The company has demonstrated rapid revenue growth, with a 23.85% year-on-year increase in revenue for the first three quarters of 2024, reaching 1.546 billion [2]. - The net profit attributable to shareholders for the same period increased by 22.47% year-on-year, amounting to 542 million [2]. - The company is expected to continue benefiting from a robust domestic and international smart meter market, leading to stable growth in performance [2]. Financial Performance Summary - For the first three quarters of 2024, the company reported a revenue of 1.546 billion, a year-on-year increase of 23.85%, and a net profit of 542 million, up 22.47% [2]. - In Q3 2024, revenue reached 531 million, reflecting a year-on-year growth of 34.86% but a quarter-on-quarter decline of 2.90% [2]. - The gross margin for the first three quarters of 2024 was 47.96%, an increase of 4.09 percentage points year-on-year, while the net margin was 34.96%, a slight decrease of 0.57 percentage points [2]. Market Outlook - The State Grid's bidding for metering devices is expected to grow rapidly, with a total of 91.98 million devices expected to be bid in 2024, a year-on-year increase of 25.3% [2]. - The company secured a bid amount of 120 million in the second round of State Grid metering devices, achieving a market share of 2.66%, which is an increase of 1.35 percentage points [2]. - The company is projected to achieve stable orders from State Grid and expand its overseas market presence, contributing to continued rapid growth in performance [2]. Earnings Forecast - The company’s revenue is forecasted to reach 2.231 billion in 2024, with a year-on-year growth rate of 25.93% [3]. - Net profit is expected to be 661 million in 2024, reflecting an 8.83% year-on-year increase [3]. - The earnings per share (EPS) are projected to be 1.29 in 2024, with a corresponding price-to-earnings (PE) ratio of 13.49 [3].