Neway CNC(688697) 东吴证券·2024-10-30 01:31Investment Rating - The report maintains an "Accumulate" rating for the company [1] Core Views - The company's revenue shows steady growth, but net profit has slightly declined due to price competition [2] - The company is actively expanding its domestic and international machine tool markets, although overall market demand remains weak [2] - The company's gross margin has slightly decreased, and the sales/management expense ratio has improved while R&D investment continues to increase [3] - The company has a strong order backlog, indicated by a 21.12% increase in contract liabilities compared to the end of 2023 [4] - R&D investment is expected to enhance competitiveness, with a projected capacity release in 2024 that could generate nearly 1.2 billion yuan in additional output [4] - The profit forecast for 2024-2026 is maintained at 334 million, 390 million, and 457 million yuan respectively, with corresponding P/E ratios of 17, 14, and 12 times [4] Revenue and Profitability - In the first three quarters of 2024, the company achieved revenue of 1.834 billion yuan, a year-on-year increase of 5.45%, while net profit was 228 million yuan, a decrease of 3.53% [2] - The gross margin for the first three quarters was 25.47%, down by 1.01 percentage points year-on-year [3] - The sales net profit margin was 12.41%, also reflecting a decline [3] R&D and Capacity Expansion - R&D expenses increased by 7.38% year-on-year to 88 million yuan in the first three quarters of 2024 [3] - The company has made significant progress in its IPO-funded projects, with an expected full production capacity in 2024 [4] Financial Metrics - The company's total revenue is projected to reach 2.519 billion yuan in 2024, with a year-on-year growth rate of 8.52% [1] - The latest diluted EPS is forecasted to be 1.02 yuan per share for 2024 [1]