SAILUN GROUP(SH:601058)2024-11-01 07:17Investment Rating - The report maintains a "Recommended" rating for the company [1][4]. Core Views - The company reported a robust performance in Q3 2024, achieving a revenue of 23.628 billion yuan, a year-on-year increase of 24.28%, and a net profit of 3.126 billion yuan, up 48.96% year-on-year [2]. - The company's tire production and sales volume showed resilience, with a total production and sales of 54.627 million and 53.878 million tires respectively in the first three quarters, marking increases of 30.00% and 31.88% year-on-year [2]. - The company is expanding its global footprint, with significant investments in projects in Cambodia, Mexico, and Indonesia, aimed at enhancing its production capacity and supply chain [3]. Summary by Sections Market Data - The stock code is 601058.SH, with a closing price of 14.71 yuan and a market capitalization of 48.368 billion yuan [1]. Financial Performance - For Q3 2024, the company achieved a revenue of 8.474 billion yuan, a year-on-year increase of 14.82%, and a net profit of 1.074 billion yuan, up 11.37% year-on-year [2]. - The average selling price of tires was 421.15 yuan per tire, a decrease of 4.54% year-on-year, while the gross profit margin was 28.38%, an increase of 2.92 percentage points year-on-year [2]. Production and Sales - The company produced 1,921.63 million tires and sold 1,933.39 million tires in Q3 2024, with production and sales increasing by 5.83% and 7.64% respectively compared to the previous quarter [2]. Global Market Position - Despite increased competition in the global tire market, domestic brands are gaining market share due to their cost-performance advantages, particularly in the U.S. and EU markets [3]. Future Projections - Revenue projections for 2024, 2025, and 2026 are 32.718 billion yuan, 38.428 billion yuan, and 44.135 billion yuan respectively, with net profits expected to be 4.476 billion yuan, 5.263 billion yuan, and 6.097 billion yuan [4][10].