WBTL(603596)2024-10-31 06:05Investment Rating - The report assigns an "Outperform" rating to Bethel Automotive Safety Systems with a target price of RMB 66.68 [1][4]. Core Insights - Bethel Automotive Safety Systems reported Q3 2024 results with revenue of RMB 2.61 billion, a year-on-year increase of 30% and a quarter-on-quarter increase of 24%. The net profit attributable to shareholders was RMB 320 million, up 34% year-on-year and 30% quarter-on-quarter [2][9]. - The company is focusing on increasing R&D investment to advance new products and technologies, including successful mass production of WCBS1.5 and small batch supply of WCBS2.0 [11][12]. - The expected new capacity will support order releases, with significant developments in lightweight product production and expansion in international markets, including a second phase project in Mexico [3][12]. Financial Performance Summary - For 2024-2026, the revenue forecast is RMB 96 billion, RMB 121 billion, and RMB 149 billion respectively, with net profit attributable to shareholders projected at RMB 11.56 billion, RMB 15.01 billion, and RMB 19.50 billion [4][13]. - The earnings per share (EPS) are expected to be RMB 1.91, RMB 2.48, and RMB 3.22 for the years 2024, 2025, and 2026 respectively [4][13]. - The gross profit margin (GPM) for Q3 2024 was reported at 21.56%, a decrease of 1.05 percentage points year-on-year, while the net profit margin (NPM) was 12.57%, an increase of 0.40 percentage points year-on-year [2][9].