CHIC(601608) 国金证券·2024-10-30 08:17Investment Rating - The report maintains a "Buy" rating for the company, expecting a price-to-earnings (PE) ratio of 34, 24, and 19 times for the years 2024, 2025, and 2026 respectively [4]. Core Insights - The company reported a revenue of 5.877 billion yuan for the first three quarters of 2024, a year-on-year decrease of 15.87%. However, the net profit attributable to shareholders increased by 6.72% to 284 million yuan during the same period [2][3]. - The company is experiencing short-term revenue pressure due to a slowdown in wind power customer project implementation and fluctuations in the mining machinery industry. Nevertheless, overseas orders have reached a historical high, driven by the company's international marketing strategy [3]. - The company is focusing on optimizing its product structure and upgrading its offerings, which is expected to enhance its gross margin. The gross margin for the first three quarters of 2024 increased to 21.26%, up by 2.38 percentage points year-on-year [3]. - High metal prices, particularly for copper and gold, are expected to support the mining equipment sector, which remains in a favorable cycle. The average spot prices for copper and gold in September 2024 were 9,237 USD/ton and 2,566 USD/ounce, respectively [3]. Summary by Sections Performance Review - For Q1-Q3 2024, the company achieved a revenue of 5.877 billion yuan, down 15.87% year-on-year, with a net profit of 284 million yuan, up 6.72% [2]. - The Q3 revenue was 1.987 billion yuan, a decrease of 14.77% year-on-year, while the net profit for Q3 was 93 million yuan, an increase of 22.07% [2]. Operational Analysis - The company is leveraging the "Belt and Road" initiative to expand its international presence, resulting in record-high overseas orders [3]. - The company is actively promoting its "ten core equipment" and has made significant market breakthroughs with several large-scale products [3]. - The R&D expense ratio reached 7.1%, indicating a strong commitment to innovation and product development [3]. Profit Forecast and Valuation - Revenue projections for 2024, 2025, and 2026 are adjusted to 9.013 billion yuan, 10.043 billion yuan, and 11.651 billion yuan, respectively. Net profit forecasts are 467 million yuan, 659 million yuan, and 859 million yuan for the same years [4].