TFC(SZ:300394) Great Wall Securities·2024-03-13 16:00Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected stock price increase of over 15% relative to the industry index in the next six months [12]. Core Insights - The company achieved a revenue of 1.939 billion yuan in 2023, representing a year-on-year growth of 62.07%, and a net profit attributable to shareholders of 730 million yuan, up 81.14% year-on-year [1][2]. - In Q4 2023, the company reported a revenue of 733 million yuan, a significant increase of 138.76% year-on-year and 35.24% quarter-on-quarter, with a net profit of 291 million yuan, reflecting a year-on-year growth of 130.95% [2]. - The company is focusing on becoming a global leader in optical devices, with ongoing investments in new technologies and products, including high-speed optical engines and 800G modules [2]. - The company has implemented a stock incentive plan to boost growth confidence, with performance targets set for 2024-2026 based on significant revenue and profit growth from 2022 levels [2]. Financial Summary - Revenue and Profit Forecasts: - 2023E Revenue: 1.939 billion yuan, 2024E: 3.272 billion yuan, 2025E: 4.532 billion yuan [1][7]. - 2023E Net Profit: 730 million yuan, 2024E: 1.159 billion yuan, 2025E: 1.556 billion yuan [1][7]. - Key Financial Ratios: - ROE is projected to increase from 23.2% in 2023E to 28.3% in 2025E [1][8]. - EPS is expected to rise from 1.85 yuan in 2023E to 3.94 yuan in 2025E [1][8].