GLARUNTECH(SH:600562) China Post Securities·2024-03-07 16:00Investment Rating - The report maintains a "Buy" rating for the company [5][12]. Core Insights - The company achieved an operating revenue of 3.282 billion yuan in 2023, representing a year-on-year growth of 1.77%, and a net profit attributable to the parent company of 599 million yuan, up 9.08% year-on-year, indicating stable growth [3][30]. - The profit growth rate outpaced revenue growth due to a decrease in the revenue share of the low-margin rail transit business [3]. - The company is focusing on the "low-altitude economy" as a strategic emerging industry to seize future industrial development opportunities [4][32]. - The projected net profits for 2023-2025 are 599 million, 721 million, and 900 million yuan, corresponding to current price-to-earnings ratios of 26, 22, and 17 times, respectively [5][6]. Financial Performance Summary - The company’s operating revenue is expected to grow from 3.282 billion yuan in 2023 to 4.378 billion yuan in 2025, with growth rates of 1.77%, 14.66%, and 16.34% respectively [6][7]. - The net profit attributable to the parent company is projected to increase from 599 million yuan in 2023 to 900 million yuan in 2025, with growth rates of 9.08%, 20.28%, and 24.92% respectively [6][7]. - The earnings per share (EPS) is expected to rise from 0.48 yuan in 2023 to 0.72 yuan in 2025 [6][7]. - The company’s price-to-earnings (P/E) ratio is projected to decrease from 25.95 in 2023 to 17.27 in 2025, indicating potential valuation improvement [6][7]. Market Position and Strategy - The company is actively developing its defense radar business, which has shown stable domestic sales and positive trends in military trade radar business, with new products gaining international attention [31]. - The establishment of the low-altitude economy innovation development alliance indicates the company's commitment to advancing in strategic emerging industries [32].