POCO(SZ:300811) AVIC Securities·2024-04-29 01:30Investment Rating - The investment rating for the company is "Buy" with a target price of 57.70 CNY, indicating an expected return of over 10% relative to the CSI 300 index in the next six months [13][23]. Core Insights - The company reported a revenue of 1.16 billion CNY in 2023, representing a year-on-year increase of 8.7%, and a net profit attributable to shareholders of 256 million CNY, up 32.5% year-on-year [13]. - In Q1 2024, the company achieved a revenue of 335 million CNY, a quarter-on-quarter increase of 10.1%, and a net profit of 71.52 million CNY, up 6.9% from the previous quarter [13]. - The company is experiencing growth in its metal soft magnetic powder business, with revenue from this segment reaching 1.03 billion CNY, a significant increase of 406% year-on-year [13]. - The company is also expanding its product offerings, with new series of iron-silicon and iron-nickel magnetic powder cores gaining market share [13]. Financial Performance Summary - The company’s total revenue is projected to grow from 1.066 billion CNY in 2023 to 1.527 billion CNY in 2024, reflecting a growth rate of 31.83% [16]. - The net profit is expected to increase from 193 million CNY in 2023 to 343 million CNY in 2024, with a growth rate of 34.28% [16]. - The earnings per share (EPS) is forecasted to be 1.73 CNY in 2024, compared to 1.76 CNY in 2023 [16]. Business Segment Performance - The metal soft magnetic powder segment generated revenue of 1.03 billion CNY, with a production volume of 32,326 tons, reflecting a year-on-year increase of 5.35% [13]. - The company’s high-spherical ultra-fine iron-silicon-chromium powder has begun mass production, contributing to import substitution [13]. - The chip inductor segment has seen significant growth, with revenue reaching 1.03 billion CNY, driven by demand from AI chip manufacturers [13]. Market Outlook - The company anticipates continued growth in the photovoltaic inverter market, with increasing demand for replacement in existing installations [13]. - The introduction of new products and enhancements in existing product lines are expected to further drive revenue growth [13].