NBGF(603788) Dongxing Securities·2025-05-07 10:23Investment Rating - The report maintains a "Recommended" rating for Ningbo Gaofa [2][5] Core Views - The company reported Q1 2025 results that met expectations, with revenue of 386.51 million yuan, a year-on-year increase of 10.9%, and a net profit attributable to shareholders of 46.23 million yuan, up 13.61% year-on-year [3] - Revenue growth is driven by increased sales from major clients such as Geely, BYD, Chery, and Seres, as well as the expansion into overseas and joint venture markets [3][4] - The company has successfully developed new products, including automotive brake pedals, which have begun small-scale supply to clients [3] Revenue and Profitability - The comprehensive gross margin for Q1 2025 was 21.25%, a significant increase from 16.98% in Q4 2024, although slightly lower than 21.5% in Q1 2024 [4] - The expense ratio (sales + management + R&D) decreased to 8.5%, down 0.79 percentage points from Q4 2024 and 1.73 percentage points from Q1 2024 [4] - The net profit margin for Q1 2025 was 11.9%, an increase of 0.26 percentage points year-on-year [4] Financial Forecast - The company is expected to achieve net profits of 221.45 million yuan, 256.24 million yuan, and 298.50 million yuan for the years 2025, 2026, and 2027 respectively, with corresponding EPS of 0.99, 1.15, and 1.34 yuan [5][6] - Revenue projections for 2025-2027 are 1.68 billion yuan, 1.93 billion yuan, and 2.24 billion yuan, with growth rates of 15.12%, 14.86%, and 15.76% respectively [6] Company Overview - Ningbo Gaofa specializes in the research, production, and sales of automotive transmission control systems and acceleration control systems [7]