Etron(603380) 东吴证券·2025-01-01 05:19Investment Rating - The report maintains a "Buy" rating for the company, citing its strong position as a leading flexible EMS (Electronics Manufacturing Services) provider and its effective implementation of refined management and overseas capacity expansion [2][9] Core Views - The company is a leader in the flexible EMS industry with over 20 years of experience, offering high-quality, diverse, fast, and flexible manufacturing capabilities [1] - It has established a strong market reputation and long-term stable customer base across industries such as industrial control, medical, communication equipment, automotive electronics, and high-end consumer electronics [1] - The company is enhancing its manufacturing service capabilities through the application of smart manufacturing technologies, including the integration of Dassault's MOM system to improve production efficiency and data management [1] - The company is actively expanding its global footprint with manufacturing bases in Mexico, Vietnam, and Romania, aiming to meet customer demands for overseas support and improve service response times [18] Financial Performance and Forecasts - Revenue is expected to grow from 1,917 million RMB in 2023 to 2,850 million RMB in 2026, with a CAGR of 13.53% from 2024 to 2026 [1][6] - Net profit attributable to shareholders is projected to increase from 133.28 million RMB in 2023 to 270.85 million RMB in 2026, with a significant growth of 43.53% in 2024 [1][6] - EPS is forecasted to rise from 0.83 RMB in 2023 to 1.69 RMB in 2026, with a P/E ratio decreasing from 30.08 in 2023 to 14.80 in 2026 [1][6] - The company achieved a revenue of 1.552 billion RMB in the first three quarters of 2024, a YoY increase of 13.87%, with a net profit of 139 million RMB, up 34.38% YoY [10] Operational Highlights - The company has implemented an employee stock ownership plan to incentivize core talent, with performance targets set for 2024-2026, including revenue goals of 2.11 billion RMB, 2.32 billion RMB, and 2.55 billion RMB, respectively [10] - Overseas manufacturing bases are being rapidly developed, with Mexico, Vietnam, and Romania facilities either in production or nearing completion, enhancing the company's global service capabilities [18] Valuation Metrics - The company's P/E ratio is expected to decline from 30.08 in 2023 to 14.80 in 2026, reflecting improved profitability and growth prospects [1][6] - The P/B ratio is projected to decrease from 2.98 in 2023 to 2.01 in 2026, indicating a more attractive valuation relative to book value [22] - ROE is forecasted to increase from 9.87% in 2023 to 13.56% in 2026, driven by higher profitability and efficient capital utilization [22]