NEWAY(603699) China Post Securities·2025-06-03 06:06Investment Rating - The report assigns an "Accumulate" rating for the company, marking its first coverage [2]. Core Insights - The company has demonstrated rapid growth in performance, with 2024 revenue reaching 6.238 billion yuan, a year-on-year increase of 12.50%, and a net profit attributable to shareholders of 1.156 billion yuan, up 60.10% [5]. - The company is expanding its product offerings in high-end markets, with significant advancements in various product lines and a focus on international sales, which now account for over 60% of total sales [6][7]. - The gross profit margin has improved significantly, reaching 38.10% in 2024, an increase of 6.70 percentage points year-on-year, indicating effective cost control [6]. Financial Performance - In Q1 2025, the company reported revenue of 1.556 billion yuan, a 14.44% increase year-on-year, and a net profit of 263 million yuan, up 33.52% [5]. - The company expects revenues for 2025-2027 to be 7.347 billion, 8.297 billion, and 9.289 billion yuan, respectively, with year-on-year growth rates of 17.79%, 12.93%, and 11.95% [8][10]. - The projected net profit for the same period is 1.415 billion, 1.617 billion, and 1.834 billion yuan, with growth rates of 22.41%, 14.34%, and 13.42% [8][10]. Product and Market Development - The company is actively expanding into downstream application fields, including nuclear power, oil and gas equipment, and wind energy, while also developing new products and enhancing its technological capabilities [7]. - The company is establishing overseas factories to strengthen its competitive position in international markets, leveraging sales networks in the Americas, Europe, and Southeast Asia [7].