IKD(SH:600933) HTSC·2025-04-01 10:59Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of RMB 23.55 [8][9]. Core Views - The company achieved a revenue of RMB 6.746 billion in 2024, representing a year-over-year increase of 13.24%, and a net profit of RMB 939.51 million, up 2.86% year-over-year. However, Q4 performance was slightly below expectations due to rising aluminum prices and increased foreign exchange losses [1][2]. - The company is actively expanding into robotics as a second growth curve, with plans to acquire 71% of Zhuoerbo, which is expected to enhance profits and achieve business synergies [3][5]. - The company is focusing on global expansion, with production bases in North America, Southeast Asia, and Europe, aiming to support its transition to new energy and ensure stable supply chains [4][5]. Summary by Sections Financial Performance - In 2024, the company reported a revenue of RMB 6.746 billion, with a growth rate of 13.24%. The net profit was RMB 939.51 million, reflecting a growth of 2.86% [7]. - Q4 revenue was RMB 1.772 billion, with a year-over-year increase of 2.86%, but net profit decreased by 37.39% year-over-year due to various cost pressures [1][2]. Strategic Initiatives - The establishment of a subsidiary for robotics in December 2024 aims to develop robotic components and exoskeletons, indicating a strategic shift towards automation [3]. - The planned acquisition of Zhuoerbo, which had a revenue of RMB 850 million and a net profit of RMB 150 million in 2023, is expected to significantly boost the company's profitability and product offerings [3]. Global Expansion - The company is enhancing its global footprint with production facilities in Mexico, Malaysia, and Hungary, which are expected to support its North American and Southeast Asian markets [4]. - The Mexican facility is projected to achieve profitability as it ramps up production, while the Malaysian plant has commenced operations to ensure a stable supply of raw materials [4]. Profitability Forecast - Revenue projections for 2025-2027 are set at RMB 7.979 billion, RMB 9.561 billion, and RMB 10.978 billion, respectively, with a compound annual growth rate exceeding 15% anticipated [5][7]. - The net profit estimates for the same period are RMB 1.147 billion, RMB 1.348 billion, and RMB 1.554 billion, reflecting a downward adjustment due to anticipated market conditions [5].