Desay SV(SZ:002920) Guohai Securities·2024-03-27 16:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1][4][6] Core Insights - The company achieved a revenue of 21.908 billion yuan in 2023, representing a year-on-year increase of 46.7%. The net profit attributable to shareholders was 1.547 billion yuan, up 30.6% year-on-year. The non-recurring net profit was 1.467 billion yuan, reflecting a growth of 41.4% [3][4] - The growth in revenue is attributed to a rapid release of orders, with a significant increase in sales volume of automotive electronic products by 46.11% compared to the previous year. The smart cockpit business generated 15.802 billion yuan, up 34.4%, while the smart driving business saw a revenue of 4.485 billion yuan, increasing by 74.4%. The connected services and other businesses achieved 1.621 billion yuan, a remarkable growth of 167.4% [3][4] - The company is focusing on three main growth engines: smart cockpit, smart driving, and connected services. The third-generation high-performance smart cockpit products are driving growth, with new products in development for major clients. The smart driving segment includes a variety of high-tech products, and the connected services encompass a wide range of offerings, with new orders from various clients [3][4] Revenue and Profit Forecast - The company is expected to achieve total revenue of 28.121 billion yuan in 2024, with a year-on-year growth rate of 28%. The net profit attributable to shareholders is projected to be 2.039 billion yuan, reflecting a growth rate of 32% [4][5] - For the years 2025 and 2026, the revenue is forecasted to be 34.872 billion yuan and 41.702 billion yuan, with growth rates of 24% and 20% respectively. The net profit for these years is expected to be 2.715 billion yuan and 3.492 billion yuan, with growth rates of 33% and 29% respectively [4][5] Financial Metrics - The company's overall gross margin for 2023 was 20.44%, with the smart cockpit business gross margin at 20.58% and the smart driving business gross margin at 16.22% [3][4] - The earnings per share (EPS) for 2024, 2025, and 2026 are projected to be 3.67 yuan, 4.89 yuan, and 6.29 yuan respectively, with corresponding price-to-earnings (P/E) ratios of 34, 26, and 20 times [4][5][6]