HNZK Electric.(SZ:300035) Minsheng Securities·2024-04-28 14:00Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for future performance [17]. Core Views - The company achieved a revenue of 4.908 billion yuan in 2023, a decrease of 6.64% year-on-year, but the overall performance met expectations [17]. - For Q1 2024, the company reported a revenue of 1.066 billion yuan, a year-on-year increase of 2.38%, and a net profit of 24 million yuan, up 117.57% year-on-year [17]. - The company is focusing on advanced technology research and development, particularly in fast-charging and energy storage products [17]. - The company plans to invest up to 5 billion yuan in a new integrated base for lithium-ion anode materials in Morocco, aiming to enhance its overseas presence [17]. - Revenue projections for 2024-2026 are 6.468 billion, 8.661 billion, and 10.873 billion yuan, with corresponding net profits of 320 million, 591 million, and 853 million yuan, reflecting significant growth rates [17]. Financial Forecasts and Indicators - Revenue is expected to grow at rates of 31.8%, 33.9%, and 25.5% for 2024, 2025, and 2026 respectively [17]. - The net profit is projected to increase by 667.6% in 2024, followed by 84.6% in 2025, and 44.3% in 2026 [17]. - The company's PE ratio is forecasted to decrease from 21 in 2024 to 8 in 2026, indicating improved valuation as earnings grow [6][17]. - The gross margin for Q1 2024 was reported at 17.40%, an increase of 9.55 percentage points year-on-year [17].