KSHG(605333) 长江证券·2024-11-18 02:32Investment Rating - The report maintains a "Buy" rating for the company [5]. Core Insights - The company reported strong Q3 performance with revenue of 2.114 billion yuan, representing a year-on-year increase of 121.4% and a quarter-on-quarter increase of 12.15%. The net profit attributable to shareholders reached 183 million yuan, with year-on-year growth of 901.75% and quarter-on-quarter growth of 18.83% [2][6]. - The company's profitability has improved significantly, with a net profit margin of 8.66% in Q3, up 6.77 percentage points year-on-year and 0.49 percentage points quarter-on-quarter. The gross margin also improved to 20.48%, reflecting a recovery driven by high-value models and stable demand from downstream customers [6][7]. - The company is a leading domestic player in automotive wiring harnesses and has adjusted its profit forecasts for 2024-2026, expecting net profits of 617 million, 897 million, and 1.13 billion yuan respectively, with corresponding PE ratios of 24.98, 17.19, and 13.65 [8]. Summary by Sections Q3 Performance - The company achieved a revenue of 2.114 billion yuan in Q3, with year-on-year and quarter-on-quarter growth of 121.4% and 12.15% respectively. The net profit attributable to shareholders was 183 million yuan, with year-on-year and quarter-on-quarter growth of 901.75% and 18.83% [2][5][6]. Profitability Analysis - The net profit margin for Q3 was 8.66%, showing significant improvement. The gross margin reached 20.48%, driven by high-value vehicle models and improved production efficiency [6][7]. Client and Market Position - The company has established strong relationships with key clients such as Volkswagen, Mercedes-Benz, and AITO, and is expanding its global presence. The focus on high-voltage connectors is expected to enhance competitiveness and profitability [7][8].