SIEYUAN(002028)2024-10-30 00:30Investment Rating - The report maintains an "OUTPERFORM" rating for Siyuan Electric [1][18] Core Views - The net profit attributable to the parent company increased by 29.88% year-on-year from Q1 to Q3 in 2024, indicating a significant recovery in performance [14][18] - The company achieved revenue of 10.41 billion yuan in the first three quarters of 2024, up 21.28% year-on-year, with a net profit of 1.491 billion yuan, up 29.88% year-on-year [14][18] - The report highlights a strong performance in Q3 2024, with revenue of 4.241 billion yuan, an increase of 29.39% year-on-year, and net profit of 604 million yuan, up 35% year-on-year [14][18] Financial Performance - The company's expense ratio was 14.17% in Q3 2024, a slight increase of 2.9 percentage points year-on-year, while the gross profit margin for the first three quarters was 31.42%, up 4.37 percentage points year-on-year [15][16] - The net profit margin improved to 14.60%, an increase of 5.46 percentage points year-on-year, reflecting enhanced profitability [15][16] Research and Development - R&D investment in the first three quarters of 2024 was 735 million yuan, up 17.12% year-on-year, with a R&D expense ratio of 7.06% [16][18] - The company holds 869 authorized patents, an increase of 11.3% year-on-year, and is investing in forward-looking technologies such as energy storage and IoT [16][18] Overseas Business Expansion - The overseas market achieved revenue of 1.515 billion yuan in H1 2024, a year-on-year increase of 40.04%, accounting for 24.56% of total revenue [17][18] - The company has established a presence in various international markets, including Europe and Latin America, and has received certifications in over 10 countries [17][18] Profit Forecast and Target Price - The revenue forecast for 2024-2026 is set at 14.82 billion yuan, 17.56 billion yuan, and 20.70 billion yuan, with corresponding net profits of 2.02 billion yuan, 2.54 billion yuan, and 3.10 billion yuan [18] - The target price has been increased from 72.27 yuan per share to 88.47 yuan per share based on the DCF model [18]