恒立液压（601100）：25Q2归母净利润创历史新高

Investment Rating - The investment rating for the company is maintained at "Buy" with a target price of RMB 96.60 [1][5]. Core Views - The company reported a record high net profit attributable to shareholders of RMB 14.29 billion for the first half of 2025, representing a year-on-year growth of 10.97%. The revenue for the same period was RMB 51.71 billion, up 7.00% year-on-year. In Q2 2025, the company achieved revenue of RMB 27.49 billion, a year-on-year increase of 11.24%, and a net profit of RMB 8.12 billion, up 18.31% year-on-year [1]. - The growth in performance is primarily driven by the recovery in the engineering machinery industry, which has led to increased sales of excavator products. The company's global layout is expected to bring new opportunities, and the linear actuator project is anticipated to open new market spaces [1]. Summary by Sections Financial Performance - In H1 2025, the company sold 308,300 excavator cylinders, achieving a year-on-year growth of over 15%. The hydraulic pump and valve products for medium and large excavators have seen continuous market share growth. Additionally, non-excavator hydraulic pump and valve products have expanded their sales by over 30% [2]. - The gross margin for H1 2025 was 41.85%, an increase of 0.21 percentage points year-on-year, while the net margin was 27.70%, up 1.01 percentage points year-on-year. The improvement in margins is attributed to the increased market share of medium and large excavator cylinders and valves [3]. International Expansion and Product Development - The company's largest overseas production base in Mexico has commenced operations, further accelerating its internationalization process. The linear actuator project has achieved significant results in technology development and market expansion, with over 50 new products developed and successfully launched [4]. - The company has significantly expanded its customer base, adding nearly 300 new clients in the first half of 2025, and aims to enhance its position in the electric drive and hydraulic drive sectors through innovation and quality [4]. Earnings Forecast and Valuation - The earnings forecast has been slightly adjusted, with expected net profits for 2025-2027 projected at RMB 28.14 billion, RMB 32.28 billion, and RMB 37.79 billion, respectively. The corresponding EPS is expected to be RMB 2.10, RMB 2.41, and RMB 2.82 [5]. - The company is assigned a PE ratio of 46x for 2025, reflecting the anticipated rapid growth in downstream industry demand and the successful expansion of its linear actuator project [5].