LEAD INTELLIGENT(SZ:300450) Changjiang Securities·2025-05-08 09:14Investment Rating - The investment rating for the company is "Buy" and is maintained [8]. Core Views - The company reported a revenue of 11.855 billion yuan in 2024, a year-on-year decrease of 28.71%, and a net profit attributable to shareholders of 286 million yuan, down 83.88% year-on-year. For Q1 2025, revenue was 3.098 billion yuan, a decrease of 6.42% year-on-year, with a net profit of 365 million yuan, down 35.3% year-on-year [2][6]. - The decline in revenue is attributed to the delayed acceptance of equipment by clients due to the supply-demand environment in the downstream sector. However, the company has improved cash flow significantly, with operating cash flow of 1.022 billion yuan in Q4 2024 and 864 million yuan in Q1 2025, indicating a substantial improvement in collection [11]. - The industry is showing signs of recovery, with orders increasing, and the company is expected to benefit as a leading player in the lithium battery equipment sector. The company is also focusing on global expansion and plans to issue H shares to enhance its international presence [11][12]. - The company anticipates a turning point in performance in 2025, with projected net profits of 1.45 billion yuan and 2.19 billion yuan for 2025 and 2026, respectively, corresponding to P/E ratios of 22 and 14 times [11]. Summary by Sections Financial Performance - In 2024, the total revenue was 11.855 billion yuan, with a gross profit of 4.147 billion yuan, resulting in a gross margin of 35%. The net profit attributable to shareholders was 286 million yuan [16]. - For 2025, the estimated revenue is projected to be 14.164 billion yuan, with a gross profit of 5.250 billion yuan, maintaining a gross margin of 37% [16]. Market Position and Strategy - The company is enhancing its global strategy by expanding its overseas customer base and optimizing resource allocation. The increase in prepayments and inventory in Q1 2025 indicates a recovery in orders [11]. - The company is committed to R&D in new technologies and products, aiming to strengthen its competitive edge in solid-state batteries and other advanced equipment [11]. Future Outlook - The company expects to see a recovery in its profit margins and overall performance in 2025, with a focus on cost reduction and efficiency improvements [11].