国茂股份：经营短期承压，看好公司长期发展

Investment Rating - Maintain "Buy" rating [20] - The company's short-term performance is under pressure due to weak demand and price competition, but its long-term growth potential is supported by its expansion into general, specialized, and high-end gear reducers [20] Core Views - The company's profitability is under pressure due to intense industry price competition, with gross and net profit margins declining in 2023 and Q1 2024 [5] - Despite short-term challenges, the company continues to expand its product categories and application fields, achieving progress in multiple segments such as injection molding machines and port machinery in 2023 [24] - The company is actively diversifying its business, including entering the precision planetary gear reducer market through the acquisition of Modoli Transmission, and expanding into industrial automation fields like laser cutting and CNC machine tools [24] Financial Performance - In 2023, the company achieved revenue of 2.66 billion yuan, a year-on-year decrease of 1.35%, and net profit attributable to shareholders of 396 million yuan, a year-on-year decrease of 4.44% [25] - In Q1 2024, the company's revenue was 585 million yuan, a year-on-year decrease of 6.48%, and net profit attributable to shareholders was 65 million yuan, a year-on-year decrease of 19.59% [25] - The company's gear reducer sales reached 654,500 units in 2023, a year-on-year increase of 7.64%, with market share continuing to grow [29] Business Expansion - The company has developed new harmonic reducer products for applications in four-axis and five-axis machine tools, humanoid robots, and other fields, with production capacity further enhanced after relocating its manufacturing base to Changzhou headquarters [24] - In the engineering planetary gear reducer business, the company has diversified its operations, securing large orders in the marine and offshore sectors, increasing supply share in the construction machinery sector, and developing series products for the photovoltaic and wind power industries [24] Market Position - The company's overseas revenue has grown, driven by its strong market position in Southeast Asia's paper and palm oil industries, the Middle East's rubber extrusion industry, and new orders in Russia's metallurgy, mining, and grain storage sectors [29] - The company's GNORD high-end products have been affected by the decline in lithium battery industry demand, but it is actively expanding into new industries such as injection molding machines, port machinery, pharmaceuticals, and food and oil processing [24]