Inovance(300124) 东吴证券·2024-04-23 09:32Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has shown strong performance in 2023 and Q1 2024, with revenue growth of 32% and 36% year-on-year, respectively, and net profit growth of 10% and 9% [3] - The company aims for a revenue growth target of 15%-35% and a net profit growth target of 5%-20% for 2024, indicating a pragmatic and stable operational goal [3] - The company is expected to maintain a strong position in the industrial control sector, with significant growth potential in digitalization and energy management [3] Financial Performance Summary - Total revenue for 2023 was 30,420 million yuan, a year-on-year increase of 32%, with net profit at 4,742 million yuan, up 10% [3] - The company forecasts total revenue of 37,999 million yuan for 2024, with a year-on-year growth of 24.91% [2] - The latest diluted EPS for 2023 is 1.77 yuan per share, with a projected EPS of 2.17 yuan for 2024 [2] Product and Market Analysis - The general automation segment showed steady growth with revenues of 150.4 million yuan in 2023, up 24% year-on-year [3] - The new energy vehicle segment experienced significant growth, with revenues of 93.7 million yuan in 2023, up 84% year-on-year [4] - The elevator segment maintained stable growth, with revenues of 52.9 million yuan in 2023, up 2% year-on-year [4] Profitability and Valuation - The company’s gross margin for 2023 was 33.6%, with a slight decline due to increased competition and a higher proportion of new energy vehicles [3] - The forecasted net profit for 2024 is 5,821 million yuan, with a corresponding P/E ratio of 28 times [4] - The target price is set at 80.5 yuan, based on a P/E ratio of 37 times for 2024 [4]