WTJX(830839) 江海证券·2024-11-16 04:26Investment Rating - The investment rating for the company is "Buy" [3][4]. Core Insights - The company has shown a continuous optimization of its product structure and steady progress in expanding overseas markets, particularly in the hydraulic cylinder sector, which opens up growth opportunities [2]. - In Q3 2024, the company achieved a revenue of 139 million yuan, a year-on-year decrease of 22.60%, while the net profit attributable to the parent company was 28 million yuan, an increase of 27.12% year-on-year [2]. - The gross profit margin improved to 28.93%, up 1.24 percentage points from Q2, and the net profit margin increased to 19.88%, up 3.35 percentage points from Q2, indicating enhanced profitability [2]. - The company’s oil-gas spring products have shown significant advantages in various performance metrics, leading to a compound annual growth rate of 89.55% in revenue from 2021 to 2023, with H1 2024 revenue exceeding the total for 2023 [2]. - The overseas market expansion is progressing well, with products being sold in North America, South America, the Middle East, and Eastern Europe, contributing to revenue diversification and reducing domestic market pressure [2]. - The company’s financial forecasts for 2024-2026 project revenues of 632 million, 799 million, and 980 million yuan, respectively, with net profits of 107 million, 154 million, and 198 million yuan [3][4]. Financial Summary - The company reported total revenue of 443 million yuan for the first three quarters of 2024, a decrease of 15.44% year-on-year, while the net profit attributable to the parent company was 76 million yuan, an increase of 30.71% [2]. - The projected earnings per share (EPS) for 2024, 2025, and 2026 are 0.90 yuan, 1.30 yuan, and 1.66 yuan, respectively [3][6]. - The company’s return on equity (ROE) is expected to improve from 18.53% in 2024 to 23.70% in 2026 [3][6].