YTCO(SH:600066) Soochow Securities·2024-04-04 16:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported its 2023 annual results, with performance and dividends exceeding expectations. In 2023, the company achieved total revenue of 27 billion yuan, a year-on-year increase of 24%, and a net profit attributable to shareholders of 1.8 billion yuan, a year-on-year increase of 139%, surpassing the midpoint of the earnings forecast of 1.65 billion yuan [3][4] - The company's export sales significantly contributed to revenue and profit growth, with total sales of 37,000 units in 2023, a year-on-year increase of 21%. Export sales reached 10,000 units, a year-on-year increase of 79%, with foreign revenue accounting for 38% of total revenue [3][4] - The company has improved its cost structure and efficiency, with a gross margin of 25.7% in 2023, up 2.8 percentage points year-on-year, primarily due to lower raw material prices and an increase in export sales proportion [4] - The company plans to distribute a cash dividend of 1.5 yuan per share (including tax), totaling 3.32 billion yuan (including tax), supported by a significant increase in operating cash flow, which reached 4.7 billion yuan in 2023, a year-on-year increase of 45% [4][3] Summary by Sections Financial Performance - In 2023, the company achieved total revenue of 27,042 million yuan, with a year-on-year growth of 24.05%. The net profit attributable to shareholders was 1,817.08 million yuan, reflecting a year-on-year increase of 139.36% [2][4] - The company forecasts revenue for 2024 and 2025 to be 34,733 million yuan and 41,447 million yuan, respectively, with net profits expected to reach 2,967.06 million yuan and 3,979.53 million yuan [2][4] Profitability Metrics - The latest diluted EPS for 2023 was 0.82 yuan per share, with a projected P/E ratio of 26.32 [2][4] - The gross margin for 2023 was reported at 25.7%, with a projected increase in gross margin for the following years [4] Cash Flow and Dividends - The company reported a net operating cash flow of 4,717 million yuan in 2023, with a significant increase in cash flow capabilities [11] - The planned cash dividend distribution of 1.5 yuan per share indicates strong shareholder returns [4][3]