Shenzhen Honor Electronic (300870) 光大证券·2024-11-01 00:07Investment Rating - The report maintains a "Buy" rating for the company [4]. Core Views - The company reported strong revenue and profit growth, with a revenue of 2.664 billion yuan for the first three quarters of 2024, representing a year-on-year increase of 28.95%. The net profit attributable to shareholders reached 157 million yuan, up 264.94% year-on-year [1][2]. - The third quarter of 2024 saw record-high revenue of 1.064 billion yuan, a year-on-year increase of 38.17% and a quarter-on-quarter increase of 17.83%. The net profit for this quarter was 70 million yuan, reflecting a year-on-year growth of 103.33% [2]. - The company's gross margin for the first three quarters of 2024 was 21.28%, an increase of 1.75 percentage points year-on-year, while the gross margin for Q3 2024 was 21.78%, up 2.02 percentage points year-on-year [2]. Summary by Sections Revenue and Profit Performance - For the first three quarters of 2024, the company achieved a revenue of 2.664 billion yuan, with a net profit of 157 million yuan, marking significant year-on-year growth [1]. - In Q3 2024, the company recorded a revenue of 1.064 billion yuan and a net profit of 70 million yuan, both exceeding expectations [2]. Product and Market Dynamics - The company has optimized its product structure, with high-power server power supply products driving growth. Key products include various high-capacity server power supplies and solutions [3]. - The company benefits from strong demand from leading domestic internet companies, driven by the AI wave [3]. Management Confidence and Future Outlook - The company has introduced an equity incentive plan with ambitious growth targets for revenue and net profit for 2024 and 2025, indicating strong management confidence in future performance [4]. - Revenue projections for 2024-2026 are optimistic, with net profit estimates of 222 million yuan, 294 million yuan, and 392 million yuan respectively, reflecting upward adjustments [4].