Investment Rating - The report assigns an "Increase" rating for Tongling Co., Ltd. (301168.SZ) [12][14]. Core Views - Tongling Co., Ltd. is expected to see significant growth in its interconnected wiring harness business, which has shown a strong revenue increase of 117.6% year-on-year, contributing to stable profit growth [4][12]. - The company has made strategic acquisitions to expand its product lines, particularly in the automotive parts sector, which is anticipated to enhance its profitability and cash flow [4][12]. - The report highlights a substantial improvement in the company's profitability, with a notable increase in the gross margin of its junction box products from 14.8% in 2022 to 20.8% in 2023, despite a decrease in product prices [18]. Summary by Sections Financial Performance - In 2023, Tongling Co., Ltd. achieved a revenue of 1.54 billion yuan, a year-on-year increase of 23.4%, and a net profit of 165 million yuan, up 42.7% year-on-year [13]. - The fourth quarter of 2023 saw a revenue of 390 million yuan, a 46.6% increase year-on-year, while the first quarter of 2024 reported a revenue of 410 million yuan, a 24.2% increase year-on-year [13]. Revenue and Profit Forecast - The revenue forecast for 2024 and 2025 has been adjusted to 1.93 billion yuan and 2.34 billion yuan, respectively, with net profit estimates revised to 200 million yuan and 240 million yuan [14]. - The projected earnings per share (EPS) for 2024, 2025, and 2026 are 1.68 yuan, 2.02 yuan, and 2.36 yuan, respectively [14]. Market Position and Growth Potential - The company is positioned as a leader in the junction box market, with a significant increase in shipment volume by 37.3% in 2023 [18]. - The interconnected wiring harness business is expected to continue its strong growth trajectory, contributing to the company's overall revenue and profit stability [4][12].
通灵股份2023年报及2024年一季报点评：盈利大幅改善，看好互联线束放量