双环传动：季报点评：毛利率再创新高，外延+内修并驾齐驱

Investment Rating - The report maintains a "Buy" rating for the company, with a target price indicating a potential return of over 20% within the next six months [5][15]. Core Insights - The company reported a revenue of 2.42 billion yuan for Q3 2024, representing a year-on-year increase of 10.7% and a quarter-on-quarter increase of 7.7%. The main business, accounting for 85% of revenue, generated 2.05 billion yuan, up 15% year-on-year. The net profit attributable to the parent company was 270 million yuan, a 20% increase year-on-year [1]. - The gross margin reached a new high of 24%, up 2.3 percentage points year-on-year, while the net margin was 11.4%, slightly down by 0.2 percentage points quarter-on-quarter due to increased exchange losses. The improvement in gross margin is attributed to internal cost reduction and efficiency gains, as well as optimization of product and customer structure [1][2]. - The company is expanding its product offerings and enhancing operational efficiency through internal improvements, including the development of new gearbox technologies and the establishment of an automated manufacturing system [2]. Financial Projections - Revenue is projected to grow to 9.89 billion yuan in 2024, 11.53 billion yuan in 2025, and 13.42 billion yuan in 2026, with year-on-year growth rates of 22.5%, 16.6%, and 16.4% respectively. The net profit attributable to the parent company is expected to reach 1.05 billion yuan in 2024, 1.35 billion yuan in 2025, and 1.65 billion yuan in 2026, with growth rates of 28.2%, 29.1%, and 22.3% respectively [3][4]. - The company's price-to-earnings (P/E) ratio is projected to decrease from 22.3x in 2024 to 14.1x in 2026, indicating an attractive valuation as earnings grow [3][4]. Operational Highlights - The company is focusing on both external expansion and internal efficiency improvements. It is developing new gearbox technologies and accelerating the construction of its overseas base in Hungary to support the global expansion of its electric vehicle gearbox business [2]. - Internally, the company is enhancing operational management efficiency through detailed management, process optimization, and cost reduction initiatives, alongside the establishment of a research institute for equipment development [2]. Financial Data and Valuation - The company reported a total revenue of 6.84 billion yuan in 2022, with a projected increase to 8.07 billion yuan in 2023 and 9.89 billion yuan in 2024. The net profit attributable to the parent company was 582 million yuan in 2022, expected to rise to 816 million yuan in 2023 and 1.05 billion yuan in 2024 [4][10]. - Key financial ratios indicate a healthy growth trajectory, with a projected gross margin of 23.43% in 2024 and a net profit margin of 10.59% [7][10].