NBJF(SH:603997) Huachuang Securities·2026-03-31 05:45Investment Rating - The report maintains a "Strong Buy" rating for the company, indicating an expectation of outperforming the benchmark index by over 20% in the next six months [2][5][17]. Core Insights - The company reported a net profit attributable to shareholders of 454 million yuan for 2025, a significant recovery from a loss of 567 million yuan in the previous year. The fourth quarter of 2025 saw a net profit of 202 million yuan, marking a year-on-year turnaround and a 108% increase quarter-on-quarter [2][4]. - The total revenue for 2025 was 22.783 billion yuan, with an 8.23% year-on-year growth after excluding the impact of the TMD sale. The gross margin reached 16.09%, a 2.05 percentage point increase year-on-year, the highest in five years [4][8]. - The company’s seat business contributed 1 billion yuan in profit, with a revenue of 5.619 billion yuan, reflecting an 80.68% year-on-year growth. The company anticipates a 40% to 80% revenue growth in the seat business for 2026 [8][9]. - The report highlights the company's strategic focus on vertical integration and overseas expansion, which is expected to enhance profitability in the long term. The company has established partnerships to increase self-manufacturing rates of key components [8][9]. Financial Summary - For 2025, the company achieved total revenue of 22.783 billion yuan, with projected revenues of 26.872 billion yuan for 2026, 31.177 billion yuan for 2027, and 35.685 billion yuan for 2028, reflecting growth rates of 18.0%, 16.0%, and 14.5% respectively [4][9]. - The net profit is expected to grow to 872 million yuan in 2026, 1.211 billion yuan in 2027, and 1.485 billion yuan in 2028, with growth rates of 92.2%, 38.9%, and 22.6% respectively [4][9]. - The report projects earnings per share (EPS) to increase from 0.36 yuan in 2025 to 0.69 yuan in 2026, 0.95 yuan in 2027, and 1.17 yuan in 2028 [4][9]. Valuation - The target price range for the company's stock is set between 16.1 and 17.5 yuan, with a current price of 11.84 yuan, indicating a potential upside of 36% to 48% [5][8]. - The report employs a segmented valuation approach, estimating a net profit of 370 million yuan for the passenger seat business in 2026, applying a price-to-earnings (PE) ratio of 35-40 times, and a net profit of 500 million yuan for traditional business at a PE of 15 times [8][9].