Times Electric(SH:688187) Shanghai Securities·2024-04-18 01:30Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The company reported a revenue of 21.799 billion yuan in 2023, representing a year-on-year growth of 20.88%, and a net profit attributable to shareholders of 3.106 billion yuan, up 21.51% year-on-year [6] - The rail transit equipment business achieved steady growth, with revenue of 12.909 billion yuan and a gross margin of 37.88%, an increase of 2.10 percentage points year-on-year [6] - The emerging equipment business saw significant growth, with revenue of 8.732 billion yuan, a year-on-year increase of 69.64% [6] - The company is expected to benefit from the recovery of fixed asset investment in China's railway sector, which reached 764.5 billion yuan in 2023, a 7.5% increase year-on-year [6] Financial Summary - The company’s revenue is projected to grow from 21.799 billion yuan in 2023 to 34.915 billion yuan in 2026, with corresponding annual growth rates of 20.9%, 19.2%, 18.0%, and 13.9% [7] - Net profit attributable to shareholders is expected to increase from 3.106 billion yuan in 2023 to 4.731 billion yuan in 2026, with growth rates of 21.5%, 15.0%, 16.7%, and 13.5% respectively [7] - Earnings per share (EPS) is forecasted to rise from 2.20 yuan in 2023 to 3.35 yuan in 2026, with corresponding price-to-earnings (PE) ratios of 23.40, 20.35, 17.44, and 15.36 [7][8] Market Position - The company maintains a market share of over 50% in the domestic urban rail traction system market, leading the industry for 12 consecutive years [6] - The company’s IGBT modules have achieved a leading market share in the rail transit and ultra-high voltage transmission sectors, with a significant presence in the new energy vehicle market [6]