Riyue HI(SH:603218) Xinda Securities·2024-05-01 13:06Investment Rating - The report assigns a "Buy" rating for the company, indicating a positive outlook for its stock performance relative to the benchmark index [12]. Core Insights - The company reported a revenue of 4.656 billion yuan in 2023, a decrease of 4.3% year-on-year, while achieving a net profit attributable to the parent company of 482 million yuan, an increase of 39.8% year-on-year [12]. - The gross profit margin for 2023 was 18.7%, reflecting an increase of 5.8 percentage points compared to the previous year [12]. - The company is expanding its production capacity and has begun developing large castings for wind turbines, positioning itself as a leader in the industry [12]. - Research and development expenses increased by 16.77% in 2023, leading to significant advancements in technology and product offerings [12]. Financial Summary - Total revenue (in million yuan): - 2022: 4,865 - 2023: 4,656 - 2024E: 5,515 - 2025E: 6,680 - 2026E: 7,581 [4] - Net profit attributable to the parent company (in million yuan): - 2022: 344 - 2023: 482 - 2024E: 674 - 2025E: 880 - 2026E: 981 [4] - Gross margin: - 2022: 12.8% - 2023: 18.7% - 2024E: 21.1% - 2025E: 21.3% - 2026E: 21.2% [4] - Earnings per share (EPS, in yuan): - 2022: 0.33 - 2023: 0.47 - 2024E: 0.65 - 2025E: 0.85 - 2026E: 0.95 [4] - Price-to-earnings ratio (P/E): - 2022: 36.80 - 2023: 26.31 - 2024E: 18.79 - 2025E: 14.39 - 2026E: 12.91 [4]