GreatStar(SZ:002444) Xinda Securities·2025-08-27 07:32Investment Rating - The investment rating for the company is "Buy" [1] Core Views - The company has demonstrated resilience in its performance, with a revenue of 7.027 billion yuan in H1 2025, reflecting a year-on-year increase of 4.9%, and a net profit of 1.273 billion yuan, up 6.6% year-on-year [1] - The electric tools segment has shown significant growth, with a revenue increase of 56.03% year-on-year, while hand tools and industrial tools have maintained stability [2] - The company's global layout is deepening, and it is expected to benefit from overseas capacity expansion and product category diversification [4] Revenue and Profitability - In H1 2025, the company achieved revenues of 4.620 billion yuan from hand tools, 741 million yuan from electric tools, and 1.632 billion yuan from industrial tools [2] - The gross margins for hand tools, electric tools, and industrial tools were 31.46%, 28.99%, and 34.78%, respectively [2] - The overall gross margin for H1 2025 was 31.95%, with a net profit margin of 18.11% [4] Business Segments - The OBM (Original Brand Manufacturing) and ODM (Original Design Manufacturing) businesses generated revenues of 3.260 billion yuan and 3.734 billion yuan, respectively, with OBM showing a growth of 10.37% year-on-year [3] - The OBM business is expected to continue expanding due to the increasing influence of self-owned brands, while the ODM business faces short-term challenges due to weak demand in the European and American markets [3] Future Outlook - The company is projected to achieve net profits of 2.62 billion yuan, 3.15 billion yuan, and 3.65 billion yuan for the years 2025, 2026, and 2027, respectively, with corresponding P/E ratios of 15.8X, 13.2X, and 11.4X [5] - The company is expected to maintain a steady increase in revenue growth, driven by the expansion of electric tools and improvements in product structure [4]