HUATIE(603300) 华泰证券·2025-04-22 06:00Investment Rating - The report maintains a "Buy" rating for the company with a target price of 13.12 RMB [8][9]. Core Views - The company reported a slight miss in its 2024 earnings expectations due to declining rental prices, but a strong performance in Q1 2025 indicates potential for revenue and profit growth driven by stabilizing rental prices and the ramp-up of intelligent computing leasing business [1][5]. - The company has successfully expanded its equipment management scale, with a notable increase in the number of managed devices, which supports revenue growth despite a decline in gross margins due to lower rental prices [2]. - The company has benefited from a reduction in management expense ratios due to the reversal of equity incentive expenses and has secured financing at historically low costs, aided by support from state-owned enterprises [3]. - The intelligent computing service orders are robust, with significant contracts signed, indicating that this segment could become a new growth driver for the company [4]. Summary by Sections Financial Performance - In 2024, the company achieved revenues of 5.17 billion RMB and a net profit of 604.72 million RMB, reflecting a year-on-year growth of 16.4% and a decline of 24.5% respectively [1]. - For Q1 2025, the company reported revenues of 1.29 billion RMB and a net profit of 190 million RMB, showing year-on-year increases of 16.6% and 21.7% respectively [1]. Equipment Management - The company’s high-altitude work platforms and construction support equipment generated revenues of 3.94 billion RMB and 1.13 billion RMB in 2024, with year-on-year growth rates of 26.9% and a decline of 13.7% respectively [2]. - The total management scale of various equipment reached 168,000 units by the end of 2024, representing a year-on-year increase of 38.8% [2]. Cost Management and Financing - The company’s expense ratio for 2024 was 27.8%, with a decrease in management expense ratio attributed to the reversal of equity incentive expenses [3]. - The company has been approved for a 1 billion RMB private bond issuance at a historically low interest rate of 2.66% [3]. Growth Potential - The intelligent computing business generated 10 million RMB in service revenue in 2024, with a gross margin of 61.4% [4]. - As of March 2025, the company had signed contracts worth 6.67 billion RMB in intelligent computing services, indicating strong future revenue potential [4]. Earnings Forecast - The company’s net profit forecasts for 2025, 2026, and 2027 are 810.63 million RMB, 946 million RMB, and 1.11 billion RMB respectively, reflecting growth rates of 34.05%, 16.70%, and 17.55% [7][5].