SANHUA(SZ:002050) CAITONG SECURITIES·2024-05-05 01:24Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported a total revenue of 24.558 billion yuan for 2023, representing a year-on-year increase of 15.04%, and a net profit attributable to shareholders of 2.921 billion yuan, up 13.51% year-on-year. For Q1 2024, the revenue was 6.440 billion yuan, a 13.40% increase year-on-year, with a net profit of 648 million yuan, up 7.73% year-on-year [4][5] - The gross profit margin for the year improved to 27.89%, an increase of 1.81 percentage points year-on-year. The gross profit margin for the refrigeration and air conditioning parts business was 28.20%, up 2.04 percentage points, while the automotive parts business had a gross profit margin of 27.43%, up 1.51 percentage points [4] - The company is expanding its business layout and accelerating its globalization efforts, with plans to complete the second phase of its factory in Vietnam in 2024 and expand production lines in Mexico and Thailand. In the automotive parts sector, the company is focusing on key projects with global clients and advancing the construction of production bases in Mexico, Poland, and various locations in China [4] Financial Summary - For 2024-2026, the company is expected to achieve net profits of 3.546 billion yuan, 4.204 billion yuan, and 4.929 billion yuan, respectively, with corresponding P/E ratios of 23.06, 19.45, and 16.59 [4][5] - The total revenue forecast for 2024 is 29.163 billion yuan, with a growth rate of 18.75%, and for 2025, it is projected to be 34.415 billion yuan, with a growth rate of 18.01% [5][6] - The company’s EPS is expected to increase from 0.81 yuan in 2023 to 0.95 yuan in 2024, and further to 1.13 yuan in 2025 [5][6]