ECOVACS(SH:603486) Changjiang Securities·2025-05-09 05:16Investment Rating - The investment rating for the company is "Buy" and is maintained [7] Core Views - The company achieved a total revenue of 16.542 billion yuan in 2024, representing a year-on-year increase of 6.71%. The net profit attributable to shareholders reached 0.806 billion yuan, up 31.70% year-on-year, and the net profit excluding non-recurring items was 0.716 billion yuan, an increase of 48.09% year-on-year [4][10] - In Q4 2024, the company reported revenue of 6.316 billion yuan, a year-on-year increase of 27.07%, with a net profit of 0.191 billion yuan, marking a significant improvement from the previous year [4][10] - For Q1 2025, the company generated revenue of 3.858 billion yuan, up 11.06% year-on-year, and a net profit of 0.475 billion yuan, reflecting a 59.43% increase year-on-year [4][10] Summary by Sections Revenue Growth - The company’s revenue growth was driven by national subsidies, with domestic sales increasing by 5.00% and international sales by 9.06%. The European market significantly contributed to overseas revenue growth, with the company's brands achieving notable increases of 51.6% and 64.0% respectively [10] - The company’s flagship products, including the T50 and X8 series, saw substantial sales in Q4, with 294,000 and 206,000 units sold respectively, enhancing market share in the mid-to-high price segments [10] Profitability Improvement - The overall gross margin for 2024 improved by 1.95 percentage points to 46.52%, attributed to product structure optimization and the impact of national subsidies on high-end product sales [10] - The company’s net profit margin and net profit margin excluding non-recurring items reached 4.87% and 4.33% respectively, both showing year-on-year increases [10] Future Outlook - The company is expected to continue its positive performance, with projected net profits for 2025, 2026, and 2027 estimated at 1.486 billion, 1.712 billion, and 1.977 billion yuan respectively, corresponding to price-to-earnings ratios of 19.93, 17.30, and 14.99 times [10]