NBJF(SH:603997) Changjiang Securities·2025-05-09 04:43Investment Rating - The investment rating for the company is "Buy" and is maintained [6]. Core Views - In Q1 2025, the company achieved revenue of 5.04 billion yuan, a year-on-year decrease of 4.7%, while the net profit attributable to shareholders was 100 million yuan, a significant increase of 447.6%. The reduction in burdens has led to a substantial improvement in profitability [2][4]. - The company is expected to benefit from the integration with Grammer, leveraging its production and R&D efficiency, as well as high self-manufacturing rates, to rapidly penetrate major global automakers. The order backlog is robust, indicating promising profitability for passenger car seat projects in the future [2][10]. - The overseas integration efforts are gradually showing results, and improvements in overseas profitability are anticipated to bring significant profit elasticity [2][10]. Summary by Sections Financial Performance - In Q1 2025, the company reported a revenue of 5.04 billion yuan, down 4.7% year-on-year and 5.8% quarter-on-quarter. The net profit attributable to shareholders was 100 million yuan, up 447.6% year-on-year [2][4]. - The gross margin for Q1 was 16.3%, an increase of 1.6 percentage points year-on-year and 3.3 percentage points quarter-on-quarter. The net profit margin was 2.1%, up 1.7 percentage points year-on-year and 2.7 percentage points quarter-on-quarter [10]. Market Outlook - The company is positioned as a rising star in the domestic seat market, with significant profit potential from completed overseas integrations. The company is also expanding into air conditioning vents and vehicle refrigerators, which have already secured multiple contracts, opening up long-term growth opportunities [10]. - The forecast for net profit attributable to shareholders for 2025-2027 is 670 million, 1.09 billion, and 1.34 billion yuan, respectively, with corresponding P/E ratios of 23.4X, 14.4X, and 11.7X [10].