巨星科技：巨星出海，乘风破浪

Company Rating - The report maintains a "Buy" rating for the company [5][3]. Core Insights - The company is a leading player in the hand tools industry, with a strong channel advantage and a significant presence in the global market, particularly in North America and Europe [1][3]. - The company has been focusing on building its own brands, with the OBM (Own Brand Manufacturing) ratio increasing from 19.39% in 2018 to 48% in 2023, indicating a shift towards direct consumer engagement [59][3]. - The company is expected to see substantial profit growth, with projected net profits of 2.41 billion, 2.95 billion, and 3.51 billion yuan for 2024, 2025, and 2026 respectively, reflecting year-on-year growth rates of 42.57%, 22.43%, and 18.88% [3][4]. Company Overview - The company was established in 1993 and went public in 2010, experiencing consistent revenue growth since its inception, except for 2009 and 2023 [1][3]. - The company has diversified its product offerings, with a notable increase in the share of power tools and laser measuring instruments, which accounted for 25.6% of total revenue in 2023 [21][3]. - The company has a global manufacturing base with 23 production facilities, allowing it to mitigate tariff impacts and ensure a steady supply chain [73][3]. Industry Insights - The industrial tools industry has shown stable growth, with global tool product sales exceeding $50 billion since 2019, and electric products making up the largest share at 37.9% in 2023 [2][33]. - The North American and European markets dominate the tool industry, accounting for 77.6% of total demand in 2023, driven by a strong DIY culture and high labor costs in these regions [2][37]. - The report indicates that the tool industry is entering a new growth cycle as inventory levels improve and interest rates decline, which is expected to boost consumer demand [49][53].