WST(SH:688122) AVIC Securities·2024-11-03 08:00Investment Rating - The investment rating for the company is "Buy," indicating an expected return exceeding 10% relative to the CSI 300 index over the next six months [2][11]. Core Insights - The company achieved a revenue of 3.24 billion yuan in the first three quarters of 2024, representing a year-on-year increase of 4.8% [2]. - The net profit attributable to shareholders reached 604 million yuan, up 3.6% year-on-year, with a basic EPS of 0.93 yuan [2]. - The company plans to distribute a cash dividend of 1 yuan per 10 shares, totaling 64.966 million yuan [2]. - The third quarter revenue was 1.22 billion yuan, showing a year-on-year increase of 24.4% and a quarter-on-quarter decrease of 1.0% [2]. - The gross profit margin and net profit margin for the first three quarters of 2024 were 34.0% and 20.2%, respectively, both showing year-on-year improvements [2]. Summary by Sections Performance Overview - The company reported a total revenue of 3.24 billion yuan for the first three quarters of 2024, with a year-on-year growth of 4.8% [2]. - The net profit attributable to shareholders was 604 million yuan, reflecting a 3.6% increase year-on-year, while the net profit after deducting non-recurring items was 533 million yuan, up 4.04% year-on-year [2]. Quarterly Performance - In Q3 2024, the company achieved a revenue of 1.22 billion yuan, which is a 24.4% increase year-on-year but a slight decrease of 1.0% from the previous quarter [2]. - The net profit for Q3 was 255 million yuan, marking a significant year-on-year increase of 58.0% and a quarter-on-quarter increase of 7.2% [2]. Profitability - The gross profit margin for the first three quarters of 2024 was 34.0%, an increase of 0.78 percentage points year-on-year, while the net profit margin was 20.2%, up 0.43 percentage points year-on-year [2]. - In Q3 2024, the gross profit margin improved to 37.2%, with a quarter-on-quarter increase of 2.87 percentage points, and the net profit margin reached 24.7%, up 4.77 percentage points from the previous quarter [2]. Future Growth Potential - The company is focusing on the development of new technologies and products, adjusting production according to external demand across three product segments [2]. - The high-end titanium alloy materials have seen stable delivery since the second quarter, establishing a solid foundation for future product demand [2]. - The superconducting product segment continues to grow, with the company starting bulk supply for the BEST fusion project [2].