Hongfa(600885) 民生证券·2025-03-29 14:13Investment Rating - The report maintains a "Recommended" rating for the company [4][6]. Core Viewpoints - The company achieved a revenue of 14.102 billion yuan in 2024, representing a year-on-year increase of 9.07%, and a net profit attributable to shareholders of 1.631 billion yuan, up 17.09% year-on-year [1]. - The company has solidified its leading position in the relay industry, with a market share increase of 1.7 percentage points compared to 2023, ranking first globally [2]. - The company is actively developing new product categories under its "75+" strategy, achieving breakthroughs in various fields, including low-voltage electrical appliances and film capacitors [3]. Financial Performance Summary - In 2024, the company reported a gross margin of 36.21%, a slight decrease of 0.68 percentage points year-on-year, while the net profit margin increased by 0.5 percentage points to 15.34% [1]. - The company’s revenue projections for 2025, 2026, and 2027 are 16.297 billion yuan, 18.784 billion yuan, and 21.755 billion yuan, respectively, with growth rates of 15.6%, 15.3%, and 15.8% [4][5]. - The net profit attributable to shareholders is expected to reach 1.898 billion yuan in 2025, 2.240 billion yuan in 2026, and 2.649 billion yuan in 2027, with growth rates of 16.3%, 18.0%, and 18.3% respectively [4][5].