Zhejiang Jiemei Electronic And Technology (SZ:002859) Soochow Securities·2024-10-29 04:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported stable revenue growth in Q3 2024, achieving revenue of 1.342 billion yuan, a year-on-year increase of 19.08% [2] - The net profit attributable to the parent company was 177 million yuan, up 2.73% year-on-year, while the net profit after deducting non-recurring items was 174 million yuan, reflecting a 1.82% increase year-on-year [2] - The decline in net profit in Q3 was primarily due to increased expenses, particularly in R&D and financial costs, which rose significantly due to currency exchange losses [2] - The company maintains a strong market position in the packaging tape and related adhesive tape sectors, with steady capacity expansion amid industry recovery [3] - The company has made significant progress in the release film segment, successfully supplying major clients and advancing domestic substitution efforts [4] - The revenue forecast for 2024 has been adjusted to 1.91 billion yuan, with a net profit forecast of 282 million yuan, while maintaining revenue and profit forecasts for 2025 and 2026 [5] Summary by Sections Financial Performance - Total revenue for 2022 was 1.301 billion yuan, with a projected increase to 1.910 billion yuan in 2024, reflecting a year-on-year growth of 21.48% [1][5] - The net profit attributable to the parent company is expected to rise from 256 million yuan in 2023 to 283 million yuan in 2024, with a growth rate of 10.81% [1][5] - The latest diluted EPS is projected to be 0.65 yuan in 2024, increasing to 1.00 yuan by 2025 [1] Market Position and Product Development - The company continues to hold a high market share in the paper carrier tape sector and is increasing the proportion of high-value-added products [3] - In the release film segment, the company has successfully developed low roughness products and is expanding its client base, including major domestic and international customers [4] Future Outlook - The company is expected to double its production capacity for BOPET film by the end of 2024, enhancing its competitive position in the market [4] - The P/E ratios for 2024, 2025, and 2026 are projected to be 31.8, 20.8, and 16.9 respectively, indicating a favorable valuation trend [5]