DHHI(SZ:002204) China Post Securities·2025-11-11 09:17Investment Rating - The investment rating for the company is "Accumulate" [5][10]. Core Insights - The company reported better-than-expected performance in its Q3 2025 results, with revenue of 10.979 billion yuan, a year-on-year increase of 8.11%, and a net profit attributable to shareholders of 490 million yuan, up 23.97% year-on-year [3][4]. - The company has successfully implemented cost reduction and efficiency improvement measures, resulting in a gross margin of 18.95% and a net margin of 4.46% for the first three quarters of 2025 [4]. - The company is expanding its international presence, with products and services sold to 96 countries and regions, aiming to maintain overseas business accounting for over 20% of total revenue [4]. Financial Performance - For the first three quarters of 2025, the company achieved a revenue of 10.979 billion yuan, with a net profit of 490 million yuan, and a non-recurring net profit of 375 million yuan, reflecting significant growth rates of 23.97% and 33.37% respectively [3][4]. - The company forecasts revenue growth from 15.181 billion yuan in 2025 to 18.513 billion yuan in 2027, with corresponding net profits expected to rise from 728 million yuan to 1.196 billion yuan during the same period [5][8]. - The projected PE ratios for 2025, 2026, and 2027 are 17.68, 13.62, and 10.76 respectively, indicating a favorable valuation trend [5][8]. Cost Management and Efficiency - The company has focused on cost control, with a decrease in sales, management, and R&D expense ratios, contributing to an overall improvement in operational efficiency [4]. - The company’s financial metrics show a slight improvement in net profit margin by 0.57 percentage points year-on-year, reflecting effective cost management strategies [4]. International Expansion - The company has signed multiple contracts for international projects, including significant contracts in Australia and India, indicating a robust growth trajectory in overseas markets [4]. - The company aims to enhance its global market share through innovative export strategies and comprehensive service offerings [4].