YAWEI(SZ:002559) Huaxin Securities·2024-10-31 02:23Investment Rating - The report maintains a "Buy" investment rating for the company [2][6]. Core Views - The company has seen a breakthrough in servo press orders, indicating a steady improvement in profitability [2][4]. - The market outlook for the company's products is promising, especially in the context of national policies encouraging equipment upgrades and manufacturing transformation [3][4]. Summary by Sections Basic Data - Current stock price is 10.28 CNY, with a total market capitalization of 5.7 billion CNY and a total share capital of 55 million shares [1]. Financial Performance - For the first three quarters of 2024, the company reported revenue of 1.491 billion CNY (down 1.75% year-on-year) and a net profit attributable to shareholders of 102 million CNY (up 1.29% year-on-year) [2]. - In Q3 2024, the company achieved revenue of 462 million CNY (down 8.82% year-on-year) and a net profit of 36 million CNY (up 10.44% year-on-year) [2]. Business Outlook - The company operates in three main segments: metal forming machine tools, laser processing equipment, and intelligent manufacturing solutions, with metal forming machine tools accounting for 70.38% of revenue in H1 2024 [3]. - The servo press orders have surpassed 1,250 tons, with significant expansion in the home appliance sector, indicating strong market demand [4]. Profitability Metrics - The company reported a gross profit margin of 26.21% for Q1-Q3 2024 (up 0.44 percentage points year-on-year) and a net profit margin of 5.91% (up 0.32 percentage points year-on-year) [5]. - The sales expense ratio was 8.92%, and the management expense ratio was 4.88%, indicating areas for potential cost control improvements [5]. Earnings Forecast - Revenue projections for 2024, 2025, and 2026 are 2.028 billion CNY, 2.213 billion CNY, and 2.427 billion CNY, respectively, with corresponding EPS of 0.23 CNY, 0.37 CNY, and 0.51 CNY [6][8].