AECC AEC(SZ:000738) ZHONGTAI SECURITIES·2024-03-28 16:00Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected relative price increase of over 15% within the next 6 to 12 months [1][6]. Core Views - The company is projected to achieve steady revenue growth, with expected revenues of 53.24 billion yuan in 2023, reflecting a year-on-year increase of 7.74% [1]. - The net profit for 2023 is forecasted to be 7.27 billion yuan, showing a year-on-year growth of 5.55% [1]. - The report highlights the company's strong position as a leading domestic enterprise in the development and production of aircraft engine control systems, characterized by high technical barriers and significant R&D challenges [3]. Financial Projections - Revenue Forecast: - 2023: 53.24 billion yuan - 2024E: 61.45 billion yuan - 2025E: 70.25 billion yuan - 2026E: 79.11 billion yuan [3][5] - Net Profit Forecast: - 2023: 7.27 billion yuan - 2024E: 8.78 billion yuan - 2025E: 10.61 billion yuan - 2026E: 12.71 billion yuan [3][5] - Earnings Per Share (EPS): - 2024E: 0.67 yuan - 2025E: 0.81 yuan - 2026E: 0.97 yuan [3][5] Business Performance - The company has shown a consistent improvement in profitability, with a net profit margin projected to increase from 13.7% in 2023 to 16.1% by 2026 [5]. - The gross profit margin is expected to rise from 27.5% in 2023 to 29.1% in 2026, indicating enhanced operational efficiency [5]. - The report emphasizes the company's focus on high-quality development and continuous improvement in operational management [1][3].