Silan(SH:600460) KAIYUAN SECURITIES·2024-11-04 09:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has shown significant year-on-year growth in Q3 2024, with revenue reaching 8.163 billion yuan, an increase of 18.32% compared to the previous year. The net profit attributable to shareholders was 0.29 billion yuan, up by 2.18 billion yuan year-on-year [3][4] - The report highlights a short-term outlook for improved profitability due to competitive product launches and cost management, while the long-term perspective is optimistic regarding revenue growth from capacity expansion [4] Financial Performance Summary - For the first three quarters of 2024, the company achieved a revenue of 8.163 billion yuan, with a year-on-year increase of 18.32%. The net profit attributable to shareholders was 0.29 billion yuan, reflecting a significant increase of 2.18 billion yuan year-on-year. The gross margin was reported at 19.28%, down by 4.10 percentage points year-on-year [3][4] - In Q3 2024 alone, the company recorded a revenue of 2.889 billion yuan, a year-on-year increase of 19.22% and a quarter-on-quarter increase of 2.87%. The net profit attributable to shareholders for this quarter was 0.54 billion yuan, up by 2.02 billion yuan year-on-year and 0.63 billion yuan quarter-on-quarter [3][4] - The report indicates a decrease in gross margin to 18.14% in Q3 2024, down by 3.72 percentage points year-on-year, but an improvement of 0.18 percentage points quarter-on-quarter [3][4] Business Outlook - The company is focusing on expanding its market presence in high-barrier sectors such as large home appliances, communications, industrial applications, new energy, and automotive markets. This strategy is expected to enhance profitability and revenue growth [4] - The production capacity of the subsidiary, Silan Mingjia, for SiC chips has reached a monthly output of 9,000 pieces as of September 30, 2024, which is anticipated to contribute to revenue growth as capacity continues to be released [4] - The integrated circuit business has seen widespread application of its IPM modules in domestic major home appliance manufacturers, indicating strong growth potential in this segment [4]