Baolong Automotive(603197) 国海证券·2024-11-04 07:20Investment Rating - The investment rating for the company is "Buy" (maintained) [2][6]. Core Insights - The company has demonstrated robust revenue growth, with Q3 2024 revenue reaching 1.843 billion yuan, representing a year-on-year increase of 19.75% and a quarter-on-quarter increase of 8.34%. However, net profit attributable to shareholders decreased by 35.21% year-on-year due to stock incentive expenses and a high base from the previous year [3][6]. - The company is experiencing rapid growth in its air suspension and sensor businesses, with significant contributions from key clients such as BYD and Li Auto, which saw sales increase by 14.7% and 19.0% respectively in Q3 2024 [3][6]. - The company has secured multiple new projects in 2024, enhancing its production capacity and global footprint, particularly in the air suspension and TPMS sectors [3][6]. Summary by Sections Financial Performance - In Q3 2024, the company achieved revenue of 1.843 billion yuan, with a year-on-year growth of 19.75% and a quarter-on-quarter growth of 8.34%. The net profit attributable to shareholders was 100 million yuan, down 35.21% year-on-year [3][6]. - For the first three quarters of 2024, the TPMS business generated revenue of 1.621 billion yuan (up 21.23% year-on-year), while the air suspension business saw revenue of 628 million yuan (up 28.86% year-on-year) [3][6]. Future Projections - The company is expected to achieve revenues of 7.105 billion yuan, 8.742 billion yuan, and 10.668 billion yuan for 2024, 2025, and 2026 respectively, with year-on-year growth rates of 20%, 23%, and 22% [6][7]. - The projected net profit attributable to shareholders for the same period is 398 million yuan, 542 million yuan, and 684 million yuan, with growth rates of 5%, 36%, and 26% respectively [6][7]. Market Position and Strategy - The company is focusing on expanding its product offerings in air suspension, sensors, and ADAS, leveraging its traditional TPMS business as a stable growth foundation [4][6]. - Strategic partnerships, such as the collaboration with Bost, are aimed at enhancing capabilities in the automotive intelligent chassis sector [3][6].