Investment Rating - The report assigns an "Outperform" rating to Chuzhou Duoli Automotive Technology with a target price of RMB 29.5 [1] Core Views - The company's Q3 2024 performance improved due to increased sales from core customers, with revenue reaching RMB 950 million, up 27% QoQ, and net profit attributable to shareholders reaching RMB 120 million, up 18% QoQ [2][3] - The company has expanded its NEV customer base, becoming a qualified supplier for Tesla, Li Auto, NIO, Leapmotor, and BYD, which contributed to the Q3 performance improvement [3] - The company is actively developing its integrated die-casting business, with four production lines already in operation, including a 6100T line in Yancheng, and plans to invest RMB 1 billion in a new project in Jinhua, expected to start mass production in 2025 [4] Financial Performance - For Q1-Q3 2024, the company achieved revenue of RMB 2.49 billion, down 9% YoY, and net profit attributable to shareholders of RMB 340 million, down 12% YoY [2] - The Q3 2024 gross profit margin was 21.6%, down 2.1 pct YoY, and the net profit margin was 12.8%, down 1 pct YoY [2] - Core customer sales in Q3 2024 showed significant growth: Tesla China sales were 182,000 units, up 25% QoQ; Li Auto sales were 153,000 units, up 41% QoQ; NIO sales were 62,000 units, up 8% QoQ [3] Business Development - The company has a strong R&D and production foundation in integrated die-casting, which enhances its integrated supply capabilities [4] - The company has established long-term stable relationships with major automakers such as SAIC Volkswagen, SAIC General Motors, and SAIC Motor, and has also partnered with automotive parts manufacturers like Xinpeng and Shanghai Tongzhou [9] Financial Forecast - The company is expected to achieve revenue of RMB 4.1/5.0/5.8 billion and net profit attributable to shareholders of RMB 500/630/750 million for 2024/25/26, with EPS of RMB 2.11/2.63/3.12 [5] - The closing price on November 1, 2024, corresponds to a PE of 12/10/8 times for 2024/25/26, and a PS of 1.5/1.2/1.0 times [5]
多利科技：公司季报点评：首次覆盖：核心客户销量环比提升，24Q3业绩改善