ECT(SZ:300679) Minsheng Securities·2024-04-24 12:00Investment Rating - The report maintains a "Recommended" rating for the company, with a current price of 42.31 CNY [8]. Core Views - The company's Q1 2024 performance exceeded expectations, driven by significant growth in automotive and consumer electronics sectors. The revenue for Q1 2024 reached 1.04 billion CNY, a year-on-year increase of 68.77%, while net profit was 162 million CNY, up 244.43% [7]. - The company is positioned as a leader in automotive high-speed connectors, benefiting from the increasing demand for high-frequency and high-speed connectors due to the rise of electric and intelligent vehicles. The company has established a strong customer base, including major domestic brands [7]. - The consumer electronics segment remains stable, with ongoing expansion in the micro RF connector and board-to-board connector markets, contributing to future growth [7]. Financial Summary - In 2023, the company achieved a revenue of 3.129 billion CNY, a year-on-year increase of 5.37%, and a net profit of 356 million CNY, down 19.64% [7]. - Revenue projections for 2024 are estimated at 4.35 billion CNY, reflecting a growth rate of 39.0%, with net profit expected to rise to 630 million CNY, a growth rate of 76.9% [2][10]. - The company's earnings per share (EPS) is projected to increase from 0.84 CNY in 2023 to 1.49 CNY in 2024, with a price-to-earnings (PE) ratio decreasing from 50 to 28 over the same period [2][10].