GREE(SZ:000651) Tai Ping Yang·2024-11-01 07:18Investment Rating - The report maintains a "Buy" rating for Gree Electric Appliances, indicating an expected relative increase of over 15% compared to the CSI 300 index in the next six months [10]. Core Insights - Gree Electric Appliances reported a revenue of 146.72 billion yuan for the first three quarters of 2024, a decrease of 5.34%, while the net profit attributable to shareholders was 21.96 billion yuan, an increase of 9.30% [3]. - In Q3 2024, the company achieved a net profit of 7.83 billion yuan, reflecting a growth of 5.47%, despite a revenue decline of 15.84% in the same quarter [3]. - The net profit margin improved significantly to 15.61%, up by 2.75 percentage points, attributed to effective control of operating expenses [3]. Financial Performance Summary - For Q3 2024, Gree's revenue was 46.94 billion yuan, with a gross margin of 29.67%, slightly down by 0.46 percentage points [3]. - The company expects revenue recovery in Q4 2024 due to the "old-for-new" appliance policy and the Double Eleven shopping festival [3]. - The projected net profits for 2024-2026 are 31.55 billion yuan, 33.78 billion yuan, and 36.16 billion yuan, respectively, with corresponding EPS of 5.63, 6.03, and 6.46 yuan [4][6]. Industry Outlook - The domestic consumption market is showing signs of recovery, which is expected to boost internal demand [4]. - Gree is focusing on refining its product matrix and enhancing its market share in the home air conditioning and heating equipment sectors [4].