KDL(002850) 华泰证券·2024-10-31 02:50Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of RMB 152.75 [6][4]. Core Views - The company has demonstrated excellent cost control, resulting in a quarter-on-quarter increase in net profit margin. The net profit for Q3 2024 reached RMB 368 million, reflecting a year-on-year increase of 28.70% and a quarter-on-quarter increase of 8.49% [3][4]. - The company is expected to benefit from industry demand growth, which will further enhance its market share as a leading structural component manufacturer [3][4]. - The company is expanding its overseas operations, with plans to invest in Malaysia for lithium battery precision components, targeting an annual output value of approximately RMB 1.3 billion [5][4]. Summary by Sections Financial Performance - In Q3 2024, the company achieved revenue of RMB 3.146 billion, with a year-on-year growth of 10.35% and a quarter-on-quarter growth of 7.12%. The gross margin and net margin for Q3 2024 were 23.42% and 11.68%, respectively [3][4]. - The company’s average capacity utilization is around 70%, with expectations for further increases in Q4 2024 and in 2025-2026 due to rising domestic and international customer demand [4][5]. Cost Control - The company reported a period expense ratio of 8.41% in Q3 2024, a decrease of 0.77 percentage points from the previous quarter, indicating effective cost management [3][4]. Future Outlook - The company anticipates a 20%-30% increase in shipment volume for 2025, with overseas market revenue expected to double next year, contributing positively to overall performance [4][5]. - The company has adjusted its profit forecasts for 2024-2026, expecting net profits of RMB 1.401 billion, RMB 1.655 billion, and RMB 1.926 billion, respectively [6][7].