Investment Rating - The report maintains a "Buy" rating for Jiezhong Technology (873690 BJ) [2] Core Views - Jiezhong Technology achieved a 61 30% YoY increase in net profit attributable to the parent company in 2024Q1-3 reaching 4436 07 million yuan [3] - The company is actively expanding into the new energy vehicle (NEV) market with NEV components accounting for 30% of sales [3] - Jiezhong Technology has entered the supply chains of major NEV brands including BYD Huawei Xiaomi and Li Auto [3] - The company is increasing its overseas market presence with 15% of sales coming from exports to countries like Mexico Poland France Germany and Thailand [3] - Jiezhong Technology is recognized as a national "Little Giant" specializing in automotive components and has significant R&D capabilities with over 70 independent intellectual properties [3] Financial Performance - 2024Q1-3 revenue was 1 88 billion yuan a 15 16% YoY increase [3] - Q3 revenue was 7600 60 million yuan up 8 58% YoY with net profit attributable to the parent company increasing by 21 39% to 1693 30 million yuan [3] - R&D expenses for 2024Q1-3 were 883 50 million yuan a 10 66% YoY increase [3] - Sales expenses for 2024Q1-3 were 724 05 million yuan an 83 92% YoY increase [3] Future Projections - The report forecasts net profit attributable to the parent company for 2024-2026 to be 0 54 0 67 and 0 84 billion yuan respectively [3] - EPS for 2024-2026 is projected to be 0 82 1 02 and 1 27 yuan per share with corresponding P/E ratios of 28 5 23 0 and 18 4 times [3] - Revenue is expected to grow at a CAGR of 24 9% from 2024E to 2026E reaching 4 43 billion yuan by 2026E [4] - Gross margin is projected to remain stable at around 38% from 2024E to 2026E [4] Market and Industry Position - Jiezhong Technology is a leading player in automotive precision components with a strong focus on NEV market expansion [3] - The company has a robust R&D infrastructure including provincial-level research centers and is involved in drafting national standards for small modulus gears [3] - With the construction of new production facilities for NEV components the company is expected to significantly increase its production capacity and revenue [3]
捷众科技：北交所信息更新：大力拓展新能源汽车市场，2023Q1-3归母净利润同比+61%