KedaTechnology(SH:603660) Soochow Securities·2024-10-30 09:04Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Insights - The company reported a revenue of 740 million yuan for the first three quarters of 2024, a year-on-year decline of 34.76%, with a net loss attributable to shareholders of 356 million yuan, down 9.98% year-on-year, which aligns with market expectations [1] - In Q3 2024, the company achieved a revenue of 320 million yuan, representing a quarter-on-quarter growth of 46.7%, and a net loss of 97 million yuan, reflecting an 8.9% quarter-on-quarter improvement, indicating a recovery in performance [1] - The company is actively expanding its overseas business, leveraging its comprehensive audio and video products and solutions, and has signed contracts for smart city projects in various countries [2] - The company is focusing on self-research and innovation, particularly in applying large models in the security field, which has led to the launch of over 200 projects across more than 20 provinces [3] - The company is expected to see continuous performance recovery due to increased R&D investment, with projected EPS for 2024-2026 being -0.11, 0.14, and 0.30 yuan respectively [3] Financial Summary - Total revenue is projected to grow from 1,816 million yuan in 2023 to 2,854 million yuan in 2026, with a compound annual growth rate (CAGR) of approximately 19.63% [9] - The net profit attributable to shareholders is expected to improve from a loss of 264.46 million yuan in 2023 to a profit of 148.50 million yuan in 2026, indicating a significant recovery trajectory [9] - The company's P/E ratio is projected to shift from -13.18 in 2023 to 23.47 in 2026, reflecting an anticipated recovery in profitability [10]