TRANSSION(SH:688036) Great Wall Securities·2024-06-13 02:31Investment Rating - The report maintains a "Buy" rating for the company, expecting a price increase of over 15% relative to the industry index in the next six months [3][12]. Core Insights - The company has achieved significant revenue growth, with 2023 revenue reaching 62.30 billion yuan, a year-on-year increase of 33.69%, and a net profit of 5.54 billion yuan, up 122.93% year-on-year [1][2]. - The company is expanding in emerging markets, particularly in Africa and South Asia, where it holds leading market shares [2][7]. - The company is actively developing its mobile internet and product diversification strategies, leveraging partnerships with major internet firms to enhance user experience and expand its ecosystem [2][7]. Financial Performance Summary - Revenue: 2022 revenue was 46.60 billion yuan, increasing to 62.30 billion yuan in 2023, with projections of 75.26 billion yuan in 2024 [1][8]. - Net Profit: The net profit rose from 2.48 billion yuan in 2022 to 5.54 billion yuan in 2023, with expectations of 6.54 billion yuan in 2024 [1][8]. - Gross Margin: The gross margin improved to 24.45% in 2023, up 3.13 percentage points year-on-year [2][8]. - Market Share: The company holds over 40% market share in the African smartphone market and has significant shares in South Asian markets [2][7]. Future Projections - Expected net profits for 2024, 2025, and 2026 are 6.54 billion yuan, 7.71 billion yuan, and 9.05 billion yuan, respectively [7]. - Earnings per share (EPS) are projected to be 8.11 yuan, 9.55 yuan, and 11.22 yuan for the years 2024, 2025, and 2026 [7].