Camel Group(SH:601311) Haitong Securities·2024-05-19 08:02Investment Rating - The investment rating for the company is "Outperform the Market" [9][12]. Core Views - The company has shown a steady growth in revenue and profit, with Q1 2024 revenue reaching 3.45 billion yuan, a year-on-year increase of 5%, and a net profit of 168 million yuan, up 35% year-on-year [4]. - The company is a leading player in the low-voltage lead-acid battery market, with a market share that has been steadily increasing. In 2023, the total sales of low-voltage lead-acid batteries reached 34.6 million KVAH, a growth of 7.45%, with sales of auxiliary batteries for new energy vehicles increasing by nearly 45% [4][23]. - The company is expected to achieve significant revenue growth in the coming years, with projected revenues of 15.2 billion yuan in 2024, 15.9 billion yuan in 2025, and 16.7 billion yuan in 2026 [12][13]. Financial Performance - In 2023, the company reported a total revenue of 14.1 billion yuan, a year-on-year increase of 5%, and a net profit of 535 million yuan, up 4% year-on-year [4][13]. - The gross profit margin for Q1 2024 was 17.28%, and the net profit margin was 4.86%, indicating improved profitability compared to the full year of 2023, where the gross profit margin was 15.05% and the net profit margin was 3.8% [4][13]. - The company is projected to have a diluted EPS of 0.69 yuan in 2024, increasing to 0.76 yuan in 2025 and 0.83 yuan in 2026 [12][13]. Market Outlook - The low-voltage lead-acid battery market is entering a growth phase, with increasing demand driven by the rising number of vehicles and the growing electronicization of automobiles. The company is well-positioned to capitalize on this trend [23]. - The company has initiated the construction of a new energy low-carbon industrial park to ensure future product delivery capacity and meet market demand, with operations expected to commence by the end of 2024 [11][12]. Dividend Potential - The company has proposed a dividend of 0.27 yuan per share for 2023, with a payout ratio of 55.34%, indicating strong dividend potential [24].