Nsfocus(SZ:300369) Orient Securities·2025-12-04 12:42Investment Rating - The report maintains a "Buy" rating for the company with a target price of 9.42 CNY, based on a projected price-to-sales (PS) ratio of 3 times for 2026 [3][6]. Core Insights - The company is focusing on AI and data security, aiming to enhance its competitive edge through a strategic framework termed "3+3+X+Y" [2][10]. - Revenue forecasts for 2025-2027 are adjusted to 2.402 billion CNY, 2.546 billion CNY, and 2.857 billion CNY respectively, reflecting a growth trajectory despite previous estimates being lower [3][11]. - The company has made significant improvements in cost control, leading to a reduction in expense ratios and an overall enhancement in operational efficiency [10]. Financial Performance Summary - The company reported a revenue of 1.681 billion CNY in 2023, with a projected growth of 40.3% to 2.358 billion CNY in 2024, followed by modest growth rates in subsequent years [5][13]. - The gross margin is expected to stabilize around 53.6% to 54.0% from 2025 to 2027, indicating a strong pricing power and cost management [5][10]. - The net profit margin is projected to improve significantly, moving from -58.1% in 2023 to a positive 8.1% by 2027, showcasing a turnaround in profitability [5][10]. Strategic Focus - The company is actively exploring new security scenarios, including APT tracking, cloud security, and vehicle networking, which are expected to open new revenue streams [10]. - The introduction of innovative products like the AI-Scan model risk assessment tool is aimed at enhancing operational efficiency and effectiveness in threat detection [10].