H&T INTELLIGENT(002402)2024-10-29 14:56Investment Rating - The report maintains a "Recommended" rating for the company [1][6] Core Views - The company has shown continuous improvement in its operating performance, with a year-on-year revenue increase of 28.3% to 7.04 billion yuan in the first three quarters of 2024 [3] - The controller business segment has been a significant contributor, achieving a revenue of 6.94 billion yuan, up 30.53% year-on-year [3] - The establishment of an operational improvement team has led to enhanced operational efficiency and cost control [4] - The company has seen a notable improvement in cash flow management, with a 45.25% increase in net cash flow from operating activities year-on-year [4] Financial Summary - For the first three quarters of 2024, the company reported a net profit of 360 million yuan, reflecting a 6.29% increase year-on-year [3] - The gross margin and net margin for the first three quarters of 2024 were 18.11% and 4.62%, respectively [3] - The company expects net profits of 524 million yuan, 690 million yuan, and 856 million yuan for 2024, 2025, and 2026, respectively, with corresponding P/E ratios of 20.8, 15.8, and 12.8 [6][10] Business Performance - The company has effectively managed inventory and improved sales collection, leading to a significant increase in cash flow from operations [4] - The controller business has shown strong performance, with a revenue of 2.443 billion yuan in Q3 2024, up 29.7% year-on-year [3] - The company has implemented measures to optimize customer structure and product categories, contributing to profit growth despite cost pressures [4]