LEAD INTELLIGENT(SZ:300450) HTSC·2025-05-09 02:35Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of RMB 24.57 [8][9]. Core Views - The company reported a revenue of RMB 11.855 billion in 2024, a year-on-year decrease of 28.71%, and a net profit attributable to the parent company of RMB 286 million, down 83.88% year-on-year [1]. - In Q1 2025, the company achieved a revenue of RMB 3.098 billion, a decline of 6.42% year-on-year, with a net profit of RMB 365 million, down 35.30% year-on-year [1]. - The report indicates that the decline in profits was primarily due to a slowdown in project acceptance by domestic downstream customers and high impairment provisions [1]. - The company expects a recovery in the lithium battery equipment market in 2025, driven by improved demand and technological breakthroughs in solid-state battery equipment [1][4]. - The company has established a new technology partnership with CATL, which is expected to strengthen its competitive advantage in solid-state battery equipment [4]. Financial Summary - The company's gross margin for 2024 was 34.98%, a decrease of 0.62 percentage points year-on-year [2]. - The overseas revenue for 2024 increased by 26.31% year-on-year, accounting for 23.88% of total revenue, an increase of 10.4 percentage points year-on-year [2]. - The operating cash flow for Q1 2025 improved significantly to RMB 864 million, compared to a negative RMB 710 million in the same period last year [3]. - The company has adjusted its revenue growth forecast for 2025-2026 downwards due to lower-than-expected new orders in the domestic lithium battery equipment sector [5][13]. - The estimated net profit for 2025 is revised down to RMB 1.421 billion, with a projected net profit of RMB 1.826 billion for 2026 [5][13].