KDL(SZ:002850) HTSC·2025-10-29 08:47Investment Rating - The report maintains a "Buy" rating for the company [5][7]. Core Views - The company has shown stable growth in revenue and net profit, with Q3 2025 revenue reaching 39.59 billion RMB, a year-on-year increase of 25.8% [2]. - The company is optimistic about demand growth for 2025 and 2026, projecting a revenue growth rate of 30% for structural components [2]. - The company is expanding its global footprint, with new projects in Thailand and the U.S., and expects significant revenue contributions from these regions [4]. Summary by Sections Financial Performance - For the first three quarters of 2025, the company reported a revenue of 106.0 billion RMB, up 23.4% year-on-year, and a net profit of 11.8 billion RMB, up 16.6% year-on-year [1]. - In Q3 2025, the net profit margin was 10.49%, slightly impacted by a one-time tax payment of over 20 million RMB [2]. Robotics Business - The subsidiary is focusing on humanoid robots, developing lightweight harmonic reducers and energy-efficient joint modules [3]. - The company showcased several products at the World Robot Conference, indicating a strong commitment to innovation in robotics [3]. Global Expansion - The company is shifting its battery component project from Malaysia to Thailand, with an investment of up to 210 million RMB [4]. - The European factory is expected to generate over 1 billion RMB in revenue next year, supporting local battery manufacturing needs [4]. Valuation and Future Projections - The report adjusts the net profit estimates for 2025-2027, projecting net profits of 17.67 billion RMB, 24.06 billion RMB, and 28.84 billion RMB respectively [5]. - The target price is set at 237.33 RMB, reflecting an increase from the previous estimate of 163.75 RMB [5].