JJHB(603279) Huaan Securities·2024-11-07 10:19Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported a revenue of 4.704 billion yuan for the first three quarters of 2024, representing a year-on-year increase of 1.20%, while the net profit attributable to the parent company was 0.665 billion yuan, down 10.09% [3] - The company is experiencing short-term pressure on profit margins, but has demonstrated strong cost control capabilities [3] - There is significant growth potential in downstream industries, particularly in the overseas market, with a focus on complete equipment and exports [3] Financial Performance Summary - For the first three quarters of 2024, the company achieved a gross margin of 29.06%, a decrease of 3.67 percentage points year-on-year, and a net profit margin of 14.14%, down 1.77 percentage points year-on-year [3] - The company’s operating cash flow for the first three quarters was 5.89 billion yuan, an increase of 492.66% [3] - The company’s revenue forecast for 2024-2026 has been adjusted to 6.347 billion, 6.915 billion, and 7.483 billion yuan respectively, with net profit forecasts of 0.887 billion, 0.986 billion, and 1.102 billion yuan [3][4] Market and Industry Outlook - The company’s complete equipment for filtration has a broad demand in various downstream industries, with the mineral and processing sector accounting for the highest revenue share of 29.02% in the first half of 2024 [3] - The company is actively pursuing international expansion, achieving 0.151 billion yuan in overseas revenue in the first half of 2024, which represents 4.84% of total revenue [3] - The market for filtration equipment is expected to grow, particularly in the renewable energy sector, driven by the recycling of lithium batteries [3]