GUILIN FUDA (SH:603166) Soochow Securities·2025-05-07 14:23Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [8]. Core Views - The company is positioned as a leader in crankshafts, with new growth avenues opened up by its ventures into the new energy and robotics sectors. The anticipated revenue growth is driven by the increasing demand for hybrid vehicles and the development of precision gears for electric drive systems [8][13]. Summary by Sections 1. Company Overview and Growth Potential - The company has been a leader in crankshaft manufacturing for 30 years and is expanding into new energy and robotics, with significant milestones achieved in recent years [8][13]. - The company has established a strong foothold in the hybrid vehicle market, with a projected 40% penetration rate for hybrid models in the new energy vehicle segment by 2024 [8][13]. 2. Financial Performance and Projections - The company is expected to achieve total revenue of 24.34 billion yuan in 2025, with a net profit of 3.01 billion yuan, reflecting a significant growth trajectory [8][13]. - The earnings per share (EPS) are projected to increase from 0.47 yuan in 2025 to 0.71 yuan by 2027, indicating a robust financial outlook [8][13]. 3. Crankshaft Business Dynamics - The crankshaft business is expected to benefit from the rising demand for hybrid vehicles, with the company capturing over 50% of the crankshaft supply for BYD's hybrid models in 2024 [8][13]. - The company is set to launch a new production line capable of producing 1 million hybrid crankshafts by May 2025, further solidifying its market position [8][13]. 4. New Energy Gear Expansion - The company has invested 408 million yuan to develop precision gears for electric drive systems, with production expected to commence in July 2024 [8][13]. - The anticipated production capacity for these gears is 600,000 sets, which is expected to significantly contribute to revenue starting in 2025 [8][13]. 5. Robotics Sector Entry - The company has entered the robotics sector by acquiring a 35% stake in a robotics technology firm, aiming to leverage synergies with its existing automotive client base [8][13]. - The development of planetary gear reducers for robotics is underway, with initial prototypes successfully tested [8][13].