NBJF(SH:603997) Guotou Securities·2024-11-01 10:23Investment Rating - The report maintains a "Buy-A" rating for the company, with a 6-month target price of 15 CNY per share [7]. Core Views - The company reported a revenue of 5.9 billion CNY in Q3 2024, showing a year-on-year growth of 7.2% and a quarter-on-quarter growth of 3.15%, primarily driven by strong sales in its seating business [2][3]. - The net profit attributable to the parent company was -585 million CNY, significantly impacted by impairment losses related to the divestiture of TMD, amounting to 270 million CNY [3]. - The company is positioned as a leading player in the domestic seating market, with a backlog of orders totaling nearly 90 billion CNY from major clients such as NIO and Li Auto [4]. Summary by Sections Financial Performance - In Q3 2024, the company achieved a revenue of 5.9 billion CNY, with a year-on-year increase of 7.2% and a quarter-on-quarter increase of 3.15% [2]. - The net profit attributable to the parent company was -585 million CNY, with impairment losses of 270 million CNY primarily due to the divestiture of TMD [3]. - Management expenses increased to 726 million CNY in Q3, reflecting the impact of layoffs in Europe [3]. Business Outlook - The seating business is expected to grow rapidly as more models enter production, contributing to overall revenue growth [2]. - The divestiture of TMD is anticipated to lead to improved profitability for the company, particularly in overseas operations [3][4]. - The company has secured 19 orders from major automotive manufacturers, indicating strong demand in the seating segment [4]. Investment Projections - The projected net profits for 2024-2026 are -500 million CNY, 950 million CNY, and 1.19 billion CNY, respectively, with corresponding PE ratios of 17.7 and 14 for 2025 and 2026 [5]. - The company is expected to achieve a 20x PE by 2025, reflecting its growth potential in the seating business [5].