LEAD INTELLIGENT(300450) 海通国际·2024-05-15 08:00Investment Rating - The report maintains an "Outperform" rating for the company, with a target price of RMB 31.38 per share, reflecting a 15x PE valuation for 2024 [5][12][17]. Core Insights - The company reported a revenue of RMB 16.63 billion for 2023, a year-on-year increase of 19.35%, but a net profit attributable to shareholders of RMB 1.78 billion, down 23.45% year-on-year [5][16]. - The decline in profit was attributed to impairment provisions and a temporary decrease in gross margin, which was 35.60% for 2023, down 2.15 percentage points year-on-year [5][16]. - The company expects growth from overseas business and photovoltaic (PV) equipment, with significant orders in the pipeline [5][8]. Financial Performance Summary - 2023 Financials: - Revenue: RMB 16.63 billion, up 19.35% YoY - Net Profit: RMB 1.78 billion, down 23.45% YoY - Gross Margin: 35.60%, down 2.15 percentage points YoY - Q4 2023 Revenue: RMB 3.44 billion, down 12.45% YoY; Net Loss: RMB 549 million [5][16]. - 2024 Q1 Financials: - Revenue: RMB 3.31 billion, up 1.14% YoY; Net Profit: RMB 565 million [5][16]. Business Segment Insights - Lithium Battery Equipment: - Revenue for 2023 was RMB 12.64 billion, up 27.12% YoY, with a gross margin of 38.69% [5][11]. - Photovoltaic Equipment: - Revenue surged to RMB 1.03 billion, up 121.85% YoY, with a gross margin of 16.78% [5][11]. - Smart Logistics Systems: - Revenue decreased to RMB 1.43 billion, down 15.55% YoY, with a gross margin of 6.88% [5][11]. - 3C Smart Devices: - Revenue reached RMB 698 million, up 15.29% YoY, with a gross margin of 44.02% [5][11]. Future Earnings Forecast - Projected net profits for 2024, 2025, and 2026 are RMB 3.28 billion, RMB 3.76 billion, and RMB 4.45 billion respectively, with EPS estimates of RMB 2.09, RMB 2.40, and RMB 2.84 [5][17]. - The company anticipates revenue growth rates of 15% for lithium battery equipment and 80% for photovoltaic equipment in the coming years [5][11].