Secote co.ltd(603283) 兴业证券·2024-11-17 03:51Investment Rating - The report assigns an "Increase Holding" rating to the company, Saiteng Co., Ltd. (603283) [3][5]. Core Views - The company reported a steady growth in revenue and profit, with a projected benefit from the recovery of the fruit supply chain and the mass production of new products [5]. - For the first three quarters of 2024, the company achieved a revenue of 3.194 billion yuan, a year-on-year increase of 21.76%, and a net profit attributable to shareholders of 475 million yuan, up 18.99% year-on-year [5]. - The third quarter of 2024 saw a revenue of 1.563 billion yuan, representing a year-on-year growth of 28.15% and a quarter-on-quarter increase of 82.32% [5]. - The company is positioned as a leading player in consumer electronics, with expansions into semiconductor and new energy sectors, benefiting from collaborations with major clients like Apple and advancements in AI technology [5]. Summary by Sections Financial Performance - For the first three quarters of 2024, the company reported a gross margin of 44.69%, a slight decrease of 0.12 percentage points year-on-year, and a net profit margin of 14.88%, down 0.35 percentage points year-on-year [5]. - The company’s cash flow from operating activities was negative 622 million yuan, a decline of 1.556 billion yuan year-on-year [5]. - As of the end of Q3 2024, inventory was 1.45 billion yuan, up 19.42% from the beginning of the year, while accounts receivable surged to 2.062 billion yuan, an increase of 178.25% from the beginning of the year [5]. Earnings Forecast - The company is expected to achieve net profits of 820 million yuan, 993 million yuan, and 1.144 billion yuan for the years 2024, 2025, and 2026, respectively, with corresponding price-to-earnings ratios of 20.7, 17.1, and 14.8 [5][6]. - The revenue forecast for the years 2024 to 2026 is projected at 5.166 billion yuan, 6.406 billion yuan, and 7.288 billion yuan, with year-on-year growth rates of 16.2%, 24.0%, and 13.8% respectively [6].