Yiheda(SZ:301029) Soochow Securities·2025-04-29 03:23Investment Rating - The report upgrades the investment rating of the company to "Buy" based on the anticipated performance turnaround [11]. Core Views - The company experienced a revenue decline in 2024 due to structural adjustments, but a performance inflection point is expected in Q1 2025 [2]. - The revenue for 2024 was 2.504 billion yuan, down 13.08% year-on-year, with a net profit of 404.4 million yuan, down 25.87% year-on-year [2]. - In Q1 2025, the company reported a revenue of 620 million yuan, up 14.8% year-on-year, and a net profit of 122 million yuan, up 26.5% year-on-year [3]. Revenue Structure and Performance - In 2024, the revenue breakdown by industry showed significant declines in the lithium battery and photovoltaic sectors, while the 3C and automotive sectors showed growth [2]. - The lithium battery sector generated 463 million yuan, down 48.03%, while the automotive sector generated 251 million yuan, up 29.94% [2]. - The company's gross margin decreased to 35.26% in 2024, down 2.69 percentage points year-on-year, but improved to 38.10% in Q1 2025, up 3.07 percentage points year-on-year [4]. Financial Metrics - The company’s operating cash flow improved significantly, reaching 729 million yuan in 2024, up 93.56% year-on-year [5]. - The net profit margin for 2024 was 16.15%, down 2.79 percentage points year-on-year, but increased to 19.64% in Q1 2025 [4]. - The company’s total revenue is projected to grow to 3.019 billion yuan in 2025, with a net profit of 552.8 million yuan, reflecting a recovery trend [11]. Business Development - The company is deepening its FA (Factory Automation) business with a comprehensive product system covering 196 categories and 4437 subcategories [6]. - The FB (Flexible Business) segment is expected to enter a rapid growth phase, leveraging smart systems to meet market demands [6].