AtHub(SH:603881)2025-05-13 10:50Investment Rating - The report maintains an "Outperform" rating for the company, with a target price of 35.04 RMB, compared to the current price of 33.52 RMB [4][9]. Core Insights - The company is expected to benefit significantly from major clients, with a clear trend of accelerating revenue and profit. Projected revenues for 2025-2027 are 1.81 billion, 1.97 billion, and 2.01 billion RMB, representing year-on-year growth of 4.97%, 8.95%, and 1.99% respectively [9]. - The net profit attributable to shareholders is projected to grow significantly, with estimates of 173 million, 196 million, and 216 million RMB for 2025-2027, reflecting growth rates of 30.6%, 13.5%, and 10.0% respectively [3][9]. - The company’s EBITDA is expected to reach 1.26 billion, 1.31 billion, and 1.33 billion RMB for 2025-2027, with growth rates of 11.06%, 3.71%, and 1.11% respectively [9]. Financial Summary - For 2023, the company reported a revenue of 1,542 million RMB, with a growth of 6.0%. The net profit for the same year was 123 million RMB, reflecting a growth of 4.6% [3]. - In 2024, the company is projected to achieve a revenue of approximately 1,721 million RMB, up 11.57% year-on-year, and a net profit of about 132 million RMB, up 7.49% year-on-year [9]. - The gross profit margin for IDC services improved to 32.12% in 2024, an increase of 3.09 percentage points year-on-year [9]. Market Position and Client Dependency - The company has a high dependency on a major internet client, which accounted for 92.46% of its main business revenue in early 2020, and this client is expected to remain the largest end customer for the foreseeable future [9]. - The company is currently fulfilling a contract for a project with an internet client, with a total investment of 1.5 billion RMB and an internal rate of return (IRR) of around 10% [9]. Valuation Metrics - The report assigns a forward EV/EBITDA multiple of 19x for 2025, valuing the company at approximately 20.98 billion RMB [9]. - The current price-to-earnings (P/E) ratio is noted at 116.25 for 2025, with a projected price-to-book (P/B) ratio of 6.00 [3][9].