Layn(002166) ZHESHANG SECURITIES·2024-11-06 04:10Investment Rating - The investment rating for the company is maintained as "Buy" [7] Core Insights - The company experienced rapid growth in Q3 2024, benefiting from declining raw material costs and efficiency improvements, leading to enhanced profitability. Additionally, the company is making steady progress in the synthetic biology sector, which is beginning to show results and build a long-term competitive advantage [2][4] - For the first three quarters of 2024, the company achieved revenue of 1.17 billion yuan, a year-on-year increase of 31.61%, and a net profit attributable to shareholders of 102 million yuan, a year-on-year increase of 148.46%. In Q3 2024 alone, revenue reached 444 million yuan, up 17.96% year-on-year, with a net profit of 37 million yuan, reflecting a staggering year-on-year growth of 680.75% [2][3] Financial Performance Summary - The company's gross margin and net margin both improved, with a gross margin of 28.16% for the first three quarters of 2024, up 5.18 percentage points year-on-year, and a net margin of 9.06%, up 3.09 percentage points year-on-year. In Q3 2024, the gross margin was 27.44%, an increase of 6.35 percentage points year-on-year [3] - The company has successfully obtained 8 patent authorizations in the synthetic biology field, with 7 related to the RM series. Some products in the RM series are now ready for commercialization, addressing the demand for healthier high-intensity sweeteners [4] - The company maintains its previous profit forecasts, expecting revenues of 1.756 billion yuan, 2.080 billion yuan, and 2.470 billion yuan for 2024-2026, representing year-on-year growth rates of 17.6%, 18.4%, and 18.8%, respectively. The projected net profits for the same period are 180 million yuan, 256 million yuan, and 345 million yuan, with corresponding year-on-year growth rates of 117.8%, 42.3%, and 34.8% [6][8]