JSST(002609)2025-05-14 09:43Investment Rating - The report upgrades the investment rating of the company to "Strong Buy" with a target price of 12.15 CNY, reflecting an expected outperformance of over 20% compared to the benchmark index in the next six months [3][8]. Core Views - The company reported a revenue of 1.579 billion CNY for 2024, a decrease of 4.01% year-on-year, and a net profit of 31 million CNY, down 72.04% year-on-year. However, in Q1 2025, the company achieved a revenue of 305 million CNY, marking a year-on-year increase of 27.52% and a return to profitability with a net profit of 1.5806 million CNY [2][4]. - The decline in 2024 revenue was primarily due to the downturn in the traditional smart hardware business, influenced by the real estate sector's challenges. Conversely, innovative business segments showed growth, with a revenue of 671 million CNY, up 18.70% year-on-year, accounting for 42.48% of total revenue [2][7]. - The company is focusing on an "AI + Parking" strategy, aiming to transform its business model and enhance operational efficiency through advanced data analytics and AI technologies [2][7]. Financial Summary - For 2024, the total revenue is projected to be 1.579 billion CNY, with a year-on-year growth rate of -4.0%. The net profit is expected to be 31 million CNY, with a significant decline of 72.0% [2][8]. - Forecasts for 2025 to 2027 indicate revenues of 1.911 billion CNY, 2.293 billion CNY, and 2.733 billion CNY, respectively, with corresponding growth rates of 21.1%, 20.0%, and 19.2% [2][8]. - The projected net profit for 2025 is 176 million CNY, reflecting a substantial increase of 460.2% year-on-year, with further growth expected in subsequent years [2][8].