Tuopu Group(SH:601689) Guohai Securities·2024-11-01 10:53Investment Rating - The report maintains a "Buy" rating for the company [2][9]. Core Insights - The company achieved a record high revenue of 7.13 billion yuan in Q3 2024, with a year-on-year growth of 42.85% and a quarter-on-quarter growth of 9.13% [3]. - The net profit attributable to shareholders reached 778 million yuan, reflecting a year-on-year increase of 54.63% but a slight quarter-on-quarter decrease of 4.07% [3]. - The company’s innovative Tier 0.5 business model continues to gain acceptance among clients, with notable sales increases from key customers such as Tesla, Geely, and Xiaomi [3]. - The overseas expansion is progressing, with the first factory of the Mexico industrial park and the second phase project already in operation, contributing to future revenue growth [3]. Financial Performance - In Q3 2024, the company reported a gross margin of 20.88%, which is a slight year-on-year decrease of 1.79 percentage points but a quarter-on-quarter increase of 0.48 percentage points [4]. - The net profit margin for Q3 2024 was 10.96%, showing a year-on-year increase of 0.86 percentage points but a quarter-on-quarter decrease of 1.49 percentage points [4]. - The company expects improvements in gross and net margins in Q4 2024 as production capacity ramps up [4]. Revenue and Profit Forecast - The company is projected to achieve revenues of 26.5 billion, 34.7 billion, and 43.4 billion yuan for 2024, 2025, and 2026, respectively, with year-on-year growth rates of 35%, 31%, and 25% [4][7]. - The net profit attributable to shareholders is expected to reach 2.91 billion, 3.89 billion, and 4.81 billion yuan for the same years, with growth rates of 35%, 34%, and 24% [4][7]. - The earnings per share (EPS) are forecasted to be 1.73, 2.31, and 2.85 yuan for 2024, 2025, and 2026, respectively [7][9].