WBTL(603596) Huaan Securities·2024-10-31 04:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has shown robust growth across its business segments, with significant increases in revenue and net profit for Q3 2024. The revenue reached 2.607 billion yuan, representing a year-on-year increase of 29.66% and a quarter-on-quarter increase of 23.52%. The net profit attributable to shareholders was 321 million yuan, up 33.96% year-on-year and 29.51% quarter-on-quarter [1] - The company is experiencing a continuous rise in revenue, driven by lightweight and intelligent electronic control products. The main business revenue for Q3 was 2.542 billion yuan, with a year-on-year growth of 31.41% and a quarter-on-quarter growth of 25.89% [1] - The company has a rich pipeline of projects, with significant new production and project approvals in lightweight brake components and electronic control products [1][3] Summary by Sections Financial Performance - For the first three quarters of 2024, the company achieved a cumulative revenue of 6.578 billion yuan, a year-on-year increase of 28.85%. The net profit attributable to shareholders was 778 million yuan, up 30.79% year-on-year [1] - The company’s gross margin for Q3 was 21.56%, showing a year-on-year decrease of 1.05 percentage points but a quarter-on-quarter increase of 0.13 percentage points [1] Business Development - The company has expanded its production capacity significantly, particularly in lightweight components. The new production projects for Q3 included 7 for lightweight brake components and 15 for disc brakes [1] - The company is focusing on enhancing its production capabilities in Mexico and expanding its product offerings in its domestic facilities [1] Client Demand - The company’s major clients include Chery Automobile, General Motors, and Geely, with revenue contributions of 45.33%, 9.26%, and 9.07% respectively in the first half of 2024. Chery's sales have seen substantial growth, with domestic retail and export numbers increasing by 60.49% and 95.27% year-on-year [2] Profit Forecast - The company is expected to achieve net profits of 1.124 billion yuan, 1.547 billion yuan, and 2.047 billion yuan for the years 2024, 2025, and 2026 respectively, with year-on-year growth rates of 26.1%, 37.6%, and 32.3% [3]