Genbyte(SZ:003028) China Post Securities·2024-04-10 16:00Investment Rating - The investment rating for the company is upgraded to "Buy" [3] Core Insights - The company achieved a revenue of 1.226 billion yuan in 2023, representing a year-on-year increase of 17.62%, and a net profit attributable to the parent company of 208 million yuan, up 21.92% year-on-year [5][6] - In Q4 2023, the company reported a revenue of 356 million yuan, a significant increase of 50.33% year-on-year, with net profit reaching 53 million yuan, up 38.86% year-on-year [5] - The company is focusing on R&D and technological innovation, which has driven high-quality growth and improved profitability [19] Financial Performance Summary - The company's revenue from various segments in 2023 includes: - Electric tools: 141 million yuan (down 38.97%) - Robotics and innovative smart products: 322 million yuan (up 114.11%) - Automotive electronic controllers: 74 million yuan (down 38.79%) - New energy: 23 million yuan (up 116.87%) - Smart electrical controllers: 641 million yuan (up 38.75%) [5] - The overall gross margin and net margin for 2023 were 28.09% and 16.97%, respectively, with improvements in gross margin attributed to R&D and product structure optimization [6] - R&D expenses for 2023 amounted to 79 million yuan, an increase of 30.08% year-on-year, with an R&D expense ratio of 6.44% [6] Earnings Forecast and Financial Ratios - The forecast for revenue and net profit for the years 2024 to 2026 is as follows: - Revenue: 1.653 billion yuan (2024E), 2.197 billion yuan (2025E), 2.760 billion yuan (2026E) - Net profit: 276 million yuan (2024E), 364 million yuan (2025E), 460 million yuan (2026E) [21] - The projected growth rates for net profit are 32.92% for 2024, 31.81% for 2025, and 26.19% for 2026 [21] - The company’s P/E ratios are projected to decrease from 20.72 in 2023 to 9.37 by 2026 [21]