EMTEK(SZ:300938) Huachuang Securities·2025-09-01 05:34Investment Rating - The report maintains a "Strong Buy" rating for the company, expecting it to outperform the benchmark index by over 20% in the next six months [1][7]. Core Insights - The company achieved a revenue of 372 million yuan in H1 2025, representing a year-on-year increase of 1.35%, with a net profit attributable to the parent company of 95 million yuan, up 2.40% year-on-year [6]. - In Q2 2025, the company reported a revenue of 206 million yuan, a year-on-year increase of 10.45%, and a net profit of 58 million yuan, up 11.82% year-on-year [6]. - The establishment of a joint venture to enter the robotics sector is expected to inject new growth momentum into the company [6][7]. Financial Performance Summary - H1 2025 gross margin was 60.68%, with a net margin of 25.71%, showing a year-on-year increase of 1.42 percentage points and a slight decrease of 0.7 percentage points, respectively [6]. - Revenue breakdown for H1 2025 includes automotive testing at 162 million yuan (up 10.52% YoY), electronic and electrical product testing at 90 million yuan (up 2.35% YoY), equipment sales at 72 million yuan (down 14.85% YoY), and other businesses at 48 million yuan (up 0.07% YoY) [6]. - The company plans to leverage its technological advantages and market resources to expand into military product testing, which is expected to contribute to future revenue growth [6][7]. Future Projections - The company is projected to achieve net profits of 198 million yuan, 228 million yuan, and 262 million yuan for the years 2025, 2026, and 2027, respectively, with year-on-year growth rates of 12.5%, 14.9%, and 15.2% [8][7]. - The target price for the company's stock is set at 30.05 yuan, based on a 35x price-to-earnings ratio for 2025 [2][7].