NeuSoft(SH:600718) Haitong Securities·2024-05-31 06:31Investment Rating - The report maintains an "Outperform the Market" rating for the company [23][17]. Core Viewpoints - The company has shown robust growth in its healthcare business, achieving a revenue of 2.571 billion yuan in 2023, a year-on-year increase of 29.74%, with a gross margin of 35.55% [4]. - The company is actively involved in the construction of county-level medical communities, establishing several national model cases, which enhances its competitive edge for future expansion [4]. - The company is expanding its smart automotive connectivity business, achieving a revenue of 3.916 billion yuan in 2023, a year-on-year growth of 9.36%, and has secured orders from major domestic and international automotive manufacturers [26]. Financial Performance Summary - In 2023, the company achieved an operating revenue of 10.544 billion yuan, a year-on-year increase of 11.39%, and a net profit of 74 million yuan, marking a turnaround from losses [15][19]. - The gross margin improved to 24.20% in 2023, up by 3.42 percentage points compared to the previous year [15]. - The company forecasts revenues of 11.836 billion yuan, 13.509 billion yuan, and 15.672 billion yuan for 2024, 2025, and 2026 respectively, with net profits projected at 291 million yuan, 472 million yuan, and 626 million yuan for the same years [17][19]. Business Segmentation - The healthcare and social security segment is expected to maintain a high growth rate of around 30% in the coming years, with a focus on digital transformation and data-driven solutions [25]. - The smart automotive connectivity segment is projected to grow steadily, with revenue expected to reach 4.308 billion yuan in 2024, reflecting a growth rate of 10% [18]. - The company is also involved in smart city initiatives, although this segment is expected to see a slight decline in revenue in the near term [18].