FORYOU(SZ:002906) Guoxin Securities·2025-08-24 13:21Investment Rating - The report maintains an "Outperform" rating for Huayang Group [4][6][58] Core Views - The company achieved a net profit growth of 28.5% year-on-year in Q2 2025, with revenue reaching 2.822 billion yuan, a 28.1% increase year-on-year and a 13.36% increase quarter-on-quarter [1][9] - The automotive electronics and precision die-casting businesses continue to grow, with automotive electronics revenue increasing by 23.37% year-on-year in H1 2025, and precision die-casting revenue increasing by 41.32% year-on-year [1][10][53] - The company is focusing on automotive intelligence and lightweighting, with ongoing product upgrades and optimization of customer structure [3][30][57] Financial Performance - In H1 2025, the company reported total revenue of 5.311 billion yuan, a 26.65% increase year-on-year, and a net profit of 341 million yuan, an 18.98% increase year-on-year [9][10] - The gross margin for Q2 2025 was 19.5%, a year-on-year decrease of 1.8 percentage points but a quarter-on-quarter increase of 1.3 percentage points [20][22] - The company expects revenues of 12.517 billion yuan, 15.428 billion yuan, and 19.033 billion yuan for the years 2025, 2026, and 2027 respectively, with net profits of 847 million yuan, 1.1 billion yuan, and 1.42 billion yuan for the same years [4][58] Business Development - Huayang Group has established deep collaborations with major companies like Huawei and Xiaomi, providing various cockpit products for multiple vehicle models [2][42] - The company is expanding its product offerings in automotive electronics, focusing on smart cockpits, advanced driver assistance systems, and lightweight components [30][50] - The precision die-casting business is seeing significant growth in components related to automotive intelligence and new energy vehicles [53][54] Customer Base and Market Position - The customer structure is continuously optimizing, with significant revenue growth from major clients such as Changan, BAIC, Xiaomi, and Stellantis [3][34][57] - The company has secured new projects with international brands and domestic automakers, enhancing its market presence [57][58] Research and Development - R&D investment in H1 2025 was 440 million yuan, representing a 17.92% year-on-year increase, accounting for 8.29% of total revenue [25][30] - The company holds 993 valid patents, including 433 invention patents, and has been involved in the formulation of national and industry standards [25][26]