Novosense(688052) 兴业证券·2024-05-06 07:32Investment Rating - The report assigns an "Add" rating for the company, marking the first coverage of the stock [1]. Core Insights - The company reported a revenue of 1.311 billion yuan in 2023, a year-on-year decrease of 21.52%, and a net profit attributable to shareholders of -305 million yuan, indicating a shift from profit to loss [5]. - In Q1 2024, the company achieved a revenue of 362 million yuan, down 23.04% year-on-year but up 16.89% quarter-on-quarter, with a net profit of -150 million yuan [5]. - The company is experiencing pressure on revenue and gross profit due to intensified market competition and downstream demand, but a gradual recovery is expected as demand and inventory improve [5][6]. - The company maintains a strong commitment to R&D, with R&D expenses reaching 522 million yuan in 2023, a 29.17% increase year-on-year, and a R&D expense ratio of 39.79% [5]. - The company is expanding its product offerings in isolation products, sensors, signal chains, and power management, with non-isolation products accounting for 39% of revenue in 2023 [5][6]. Financial Summary - The company forecasts revenues of 1.816 billion, 2.385 billion, and 3.094 billion yuan for 2024, 2025, and 2026, respectively, representing year-on-year growth rates of 38.5%, 31.4%, and 29.7% [7]. - The net profit attributable to shareholders is projected to be -162 million yuan in 2024, turning positive in 2025 with a profit of 78 million yuan, and reaching 265 million yuan in 2026 [7]. - The gross margin is expected to recover gradually, with estimates of 37.4%, 40.2%, and 41.0% for 2024, 2025, and 2026, respectively [8].