Investment Rating - The investment rating for the company is "Outperform the Market" [1] Core Views - The report highlights significant growth in demand for intelligent computing and effective cost control, leading to a substantial increase in profitability [4] - The company reported a revenue of 8.377 billion yuan for the first three quarters of 2024, a year-on-year increase of 5.36%, and a net profit of 412 million yuan, a year-on-year increase of 47.73% [4] - The gross margin for the same period was 35.50%, down 3.21 percentage points year-on-year, attributed mainly to the rapid growth of internet revenue and changes in revenue structure [4] - The report anticipates revenue growth for 2024-2026 to be 12.788 billion yuan, 14.996 billion yuan, and 17.661 billion yuan respectively, with net profits projected at 572 million yuan, 742 million yuan, and 927 million yuan [5] Financial Performance Summary - In Q3 2024, the company achieved a revenue of 3.333 billion yuan, a quarter-on-quarter increase of 15.07% and a year-on-year increase of 6.84% [4] - The net profit for Q3 2024 was 258 million yuan, reflecting a quarter-on-quarter increase of 70.30% and a year-on-year increase of 85.57% [4] - The company’s market share in various segments remains strong, ranking second in data center switches and WLAN markets in China [5] Cost Control and Profitability - The report indicates significant improvements in cost control, with sales, management, financial, and R&D expense ratios showing reductions [5] - The net profit margin for Q3 2024 was 7.74%, up 2.51 percentage points quarter-on-quarter and 3.28 percentage points year-on-year [4] Market Position and Competitive Strength - The company has demonstrated competitive strength by winning a bid for a new intelligent computing center switch for China Mobile, showcasing its capabilities in the market [4] - The company’s AI-Fabric solution supports up to 32,000 GPU cards, indicating its advanced technological offerings [4] Valuation and Investment Recommendation - The report suggests a price-to-earnings (P/E) ratio of 40-50 times for 2025, leading to a reasonable valuation range of 52.24 yuan to 65.30 yuan per share [5] - The investment recommendation remains "Outperform the Market" based on the anticipated growth and market positioning [5]
锐捷网络：公司季报点评：智算需求高增与费用管控共振，盈利继续大幅提升