民用电工龙头，新业务成长可期

Investment Rating - The report maintains a rating of "Buy" for the company [4]. Core Insights - The company is a leader in the consumer electrical sector, with a strong management team that emphasizes a three-pronged competitive strategy of product, channel, and brand [4][24]. - The company has a stable cash cow business model complemented by high-growth new business segments, demonstrating resilience in revenue and profit growth even during market downturns [24][25]. - The company has a robust financial outlook, with projected revenues for 2023-2025 of 156.12 billion, 177.38 billion, and 203.99 billion yuan, respectively, reflecting year-on-year growth rates of 10.9%, 13.6%, and 15.0% [4][5]. Summary by Sections 1. Company Overview - The company started with converters and has expanded its product range significantly over the years, adapting to market trends and consumer needs [12][16]. - The ownership structure is highly concentrated, with the founding family holding approximately 84% of the shares, ensuring strategic alignment [16][21]. 2. Competitive Strengths - The company's management capabilities are a core competitive advantage, characterized by strong product development, extensive distribution networks, and effective branding strategies [4][24]. - The product strength is evident in the company's focus on R&D and high-quality production, leading to a competitive edge in pricing and innovation [4][24]. - The distribution network is extensive, with over a million offline points of sale, creating a significant barrier to entry for competitors [4][24]. 3. Traditional Business Performance - The converter business remains a cornerstone, with a market share of approximately 60-70% in a 119 billion yuan industry, indicating strong market leadership [4][24]. - The wall switch segment has a market share of 33% on Tmall, with plans to capture more market share through product innovation and targeted marketing strategies [4][24]. 4. Growth Potential in New Business - The company is expanding into LED lighting and new energy sectors, with significant growth potential driven by market demand and product differentiation [4][24]. - The LED lighting segment is expected to grow through enhanced channel strategies and product offerings, while the new energy segment is projected to double its revenue in 2023 [4][24]. 5. Financial Projections and Valuation - The company is expected to maintain stable growth in core business areas while new ventures contribute increasingly to revenue [4][5]. - The projected net profits for 2023-2025 are 37.65 billion, 41.68 billion, and 47.84 billion yuan, respectively, with corresponding year-on-year growth rates of 18.1%, 10.7%, and 14.8% [4][5].