GSP GROUP(SH:605088) Huaan Securities·2025-04-29 02:05Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company's Q1 2025 performance exceeded expectations, showcasing both resilience and flexibility. The Q1 revenue reached 893 million yuan, a year-on-year increase of 19%, while the net profit attributable to the parent company was 84 million yuan, up 27% year-on-year [7] - The report emphasizes that the company has a stable and sustainable gross margin of 25.2% in Q1 2025, despite a slight year-on-year decline of 1.2 percentage points [7] - The company is well-positioned to handle short-term tariff impacts due to its global operations and established pricing power in the North American market [7] - The report highlights the company's strong growth potential in the automotive aftermarket and its strategic initiatives in robotics and solid-state battery sectors, which are expected to drive future growth [7] Financial Summary - For the fiscal year 2024, the company is projected to achieve a revenue of 4,020 million yuan, with a year-on-year growth of 26.4%. The net profit attributable to the parent company is expected to be 298 million yuan, reflecting a growth of 4.8% [5] - The company forecasts a steady increase in revenue and net profit for the years 2025 to 2027, with net profit estimates of 380 million yuan in 2025, 456 million yuan in 2026, and 581 million yuan in 2027, corresponding to growth rates of 27.5%, 19.9%, and 27.6% respectively [5][7] - The report projects a consistent improvement in key financial ratios, including a return on equity (ROE) expected to rise from 12.3% in 2024 to 15.0% in 2027 [5] Market Position and Strategy - The company is recognized for its robust position in the global automotive aftermarket, which is characterized by stable demand and growth potential [7] - The collaboration with Sichuan Tianlian in the robotics sector and advancements in solid-state battery technology are seen as significant catalysts for future growth [7] - The report suggests that the company has the financial strength and willingness to expand its business into new areas, enhancing its overall market competitiveness [7]