QINGDAO FENGGUANG PRECISION MACHINERY CO.(430510) 东吴证券·2024-10-31 02:40Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company's Q3 2024 performance shows steady growth, with revenue increasing by 29.44% YoY to 183 million yuan and net profit attributable to shareholders rising by 35.68% YoY to 22 million yuan [2] - The company's gross margin increased significantly by 6.03 percentage points to 36.79% in Q1-Q3 2024, driven by higher-margin processing orders [3] - The company is developing harmonic reducers as a second growth curve, with a planned investment of 250 million yuan for a new production facility [4] Financial Performance - Revenue for 2024 is forecasted to reach 273.08 million yuan, a 29.37% increase YoY, with net profit attributable to shareholders expected to grow by 36.11% to 48.42 million yuan [1] - The company's EPS for 2024 is projected to be 0.26 yuan per share, with a P/E ratio of 81.37 [1] - The company's operating cash flow for 2024 is expected to be 77 million yuan, a significant increase from 46 million yuan in 2023 [12] Growth Drivers - The company has strong technical capabilities and quality control, leading to high precision and stable product quality [4] - The company has established long-term relationships with high-quality customers, including THK, Yaskawa Electric, and Edwards, providing a stable source of revenue [4] - The company's investment in harmonic reducers is expected to open up new growth opportunities in industries such as industrial and service robotics [4] Valuation and Forecast - The company's revenue is expected to grow to 343.77 million yuan by 2026, with net profit attributable to shareholders reaching 65.30 million yuan [1] - The company's P/E ratio is forecasted to decrease to 60.34 by 2026, reflecting strong growth potential [1] - The company's ROE is expected to increase to 11.60% by 2026, indicating improving profitability [12]