RIGOL(SH:688337) Southwest Securities·2024-03-21 16:00Investment Rating - The investment rating for the company is "Hold" [1]. Core Views - The company, Puyuan Precision Electronics (688337), reported a revenue of 670 million yuan in 2023, representing a year-on-year growth of 6.3%. The net profit attributable to shareholders was 110 million yuan, up 16.7% year-on-year, while the net profit excluding non-recurring items was 60 million yuan, an increase of 27.6% year-on-year [7][8]. - The company has been focusing on high-end microwave RF instruments, with significant growth in sales from new product lines, particularly the "portable family series" products. The order growth rates for microwave RF instruments are expected to be 45%, 35%, and 30% from 2024 to 2026 [5][9]. - The gross margin for the company improved to 56.5% in 2023, up 4.1 percentage points year-on-year, driven by high-end products and self-developed core technology platforms [8]. Financial Summary - The company achieved a total revenue of 670.54 million yuan in 2024E, with a projected growth rate of 42.40% [10]. - The net profit attributable to shareholders is expected to reach 107.95 million yuan in 2024E, with a growth rate of 65.75% [10]. - The earnings per share (EPS) is projected to be 0.58 yuan in 2024E, with a net asset return (ROE) of 5.87% [10]. Product and Market Strategy - The company has launched new products, including a 13GHz oscilloscope and various portable signal generators, which are expected to enhance its product matrix and improve profitability [9]. - The company is also planning to acquire 100% equity of Nais Electronics, which specializes in digital array systems, to strengthen its solution capabilities and competitive edge [9]. Profit Forecast - The forecast for net profit attributable to shareholders for 2024, 2025, and 2026 is 1.8 billion yuan, 2.6 billion yuan, and 3.6 billion yuan, respectively, indicating a compound annual growth rate of 49% over the next three years [9][10].