NJEC(SH:600699) Guohai Securities·2024-03-29 16:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Insights - The company's revenue for 2023 reached 55.728 billion yuan, representing a year-on-year increase of 11.9%. The net profit attributable to shareholders was 1.083 billion yuan, up 174.8% year-on-year, and the net profit after deducting non-recurring gains and losses was 1.003 billion yuan, an increase of 219.2% year-on-year [3][4] - The company has shown significant improvement in profitability, driven by cost control and reduced expenses, with a notable enhancement in the profitability of its automotive safety business due to global operational management improvements [4][5] - The company has secured new orders totaling approximately 73.7 billion yuan, with over 60% of these related to new energy vehicles, indicating a strong growth trajectory in its core business segments [5][6] Summary by Sections Financial Performance - In Q4 2023, the company achieved revenue of 14.418 billion yuan, a year-on-year increase of 2.6% and a quarter-on-quarter increase of 0.86%. The net profit attributable to shareholders was 304 million yuan, up 15.7% year-on-year, and the net profit after deducting non-recurring gains and losses was 332 million yuan, a significant increase of 443.8% year-on-year [4] - The overall gross margin for 2023 was 15.09%, an increase of 3.13 percentage points year-on-year, while the net profit margin was 2.23%, up 1.76 percentage points year-on-year [4][5] Business Growth - The automotive safety business generated approximately 38.5 billion yuan in revenue, growing 12.0% year-on-year, while the automotive electronics business achieved around 16.8 billion yuan, with a year-on-year growth of 11.2% [5] - The company is positioned to benefit from the global trend towards electric and intelligent vehicles, with ongoing cost reduction and efficiency improvements enabling Chinese automotive enterprises to expand internationally [5][6] Future Projections - The company is expected to achieve main business revenues of 60.908 billion yuan, 65.775 billion yuan, and 70.126 billion yuan for 2024, 2025, and 2026, respectively, with year-on-year growth rates of 9%, 8%, and 7% [8] - The projected net profit attributable to shareholders for the same period is 1.489 billion yuan, 1.895 billion yuan, and 2.291 billion yuan, with growth rates of 37%, 27%, and 21% [8]