KSTAR(SZ:002518) Soochow Securities·2025-10-28 13:57Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Insights - The company reported a revenue of 3.61 billion yuan for the first three quarters of 2025, representing a year-on-year increase of 23.9%. The net profit attributable to shareholders was 450 million yuan, up 24.9% year-on-year, and the net profit after deducting non-recurring gains and losses was 420 million yuan, an increase of 27.7% year-on-year. The gross margin was 28.6%, down 3.1 percentage points year-on-year [8] - The data center business is experiencing steady growth, with significant demand recovery in the energy storage sector. The company has established ODM cooperation with overseas and leading UPS customers, achieving substantial breakthroughs in the North American market. New products, including the 800V-HVDC, are expected to enhance market share [8] - The company is expected to benefit from the rapid growth in the charging pile and energy storage industries, with profit elasticity anticipated due to its product, research, and channel advantages. The net profit forecasts for 2025-2027 have been adjusted to 590 million, 870 million, and 1.25 billion yuan, respectively, with corresponding P/E ratios of 42, 28, and 20 times [8] Financial Summary - Total revenue is projected to reach 5.53 billion yuan in 2025, with a year-on-year growth of 32.97%. The net profit attributable to shareholders is expected to be 589 million yuan, reflecting a growth of 49.48% [1][9] - The company’s operating cash flow for the first three quarters of 2025 was 490 million yuan, a significant increase of 195.9% year-on-year, indicating improved cash flow management [8] - The company’s total assets are projected to grow to 10.85 billion yuan by 2026, with a debt-to-asset ratio of 41.70% [9]