SUPCON Technology (688777) GOLDEN SUN SECURITIES·2024-04-08 16:00Investment Rating - The report maintains a "Buy" rating for the company [3][5]. Core Insights - The company achieved a revenue of 861.99 million yuan in 2023, representing a year-on-year growth of 30.13%, and a net profit of 110.18 million yuan, up 38.08% from 2022 [2]. - The traditional DCS business remained stable, while the industrial software and instrumentation segments drove growth, with instrumentation revenue increasing by 80.27% year-on-year [2]. - The company continues to hold the largest market share in the domestic DCS market at 37.8%, maintaining its leadership for thirteen consecutive years [3]. Financial Performance Summary - Revenue for 2023 was 8620 million yuan, with a growth rate of 30.1% compared to 2022 [4]. - The net profit for 2023 was 1102 million yuan, reflecting a growth rate of 38.1% year-on-year [4]. - The company's gross margin for its main business was 33.17%, a slight decrease of 2.50 percentage points from the previous year, but core business margins showed signs of recovery [2]. Market Position and Growth Potential - The company has a strong competitive barrier, with significant market shares in various segments: 33.7% in safety instrumented systems (SIS), 28.2% in advanced process control software (APC), and 20.7% in manufacturing execution systems (MES) [3]. - The report forecasts net profits of 1.36 billion yuan, 1.66 billion yuan, and 1.99 billion yuan for 2024E, 2025E, and 2026E respectively, indicating continued growth [3].