Investment Rating - The investment rating for the company is "Buy-A" with a 6-month target price of 29.82 CNY, compared to the current stock price of 24.49 CNY as of July 18, 2025 [4]. Core Insights - The company has made significant advancements in AI technology, particularly with its "Steel Big Model," which has been recognized in the SAIL Awards TOP30, affirming its leadership in the digital transformation of the steel industry [1]. - The successful production of the "1550 Acid Washing and Rolling Mill Unit" at the Guangxi Hongwang project marks a critical milestone, showcasing the application of the company's domestic large PLC control systems and setting a new benchmark for high-end metallurgical equipment [1][3]. - The company is actively integrating AI into the steel industry, developing a comprehensive "AI + Steel" solution that combines platform, data, computing power, models, and scenarios, and has initiated over 100 "AI+" application instances [2]. Financial Performance and Projections - The company is projected to achieve revenues of 143.13 billion CNY, 154.81 billion CNY, and 163.92 billion CNY for the years 2025, 2026, and 2027 respectively, with net profits expected to be 24.57 billion CNY, 28.41 billion CNY, and 30.72 billion CNY during the same period [7]. - The revenue growth rate is expected to be 4.9% in 2025, 8.2% in 2026, and 5.9% in 2027, while net profit growth rates are projected at 8.5%, 15.6%, and 8.1% respectively [9][10]. - The company’s earnings per share (EPS) is expected to increase from 0.85 CNY in 2025 to 1.07 CNY in 2027, reflecting a positive growth trajectory [10]. Market Position and Competitive Advantage - The company is positioned as a leader in the domestic large PLC market, with its products being integral to the operational efficiency of key production lines, such as the Guangxi Hongwang project, which has a designed annual capacity of 1.5 million tons and a maximum operating speed of 1580 m/min [3]. - The company is also focusing on the development of humanoid robots integrated with AI for industrial applications, aiming to establish a robust ecosystem in the steel and related industries [2].

Investment Rating - The report assigns a rating of "Buy" for the company [1] Core Views - The company is a leader in the industrial software industry, actively promoting AI-enabled innovations in the steel industry and building a self-controlled industrial software system through its self-developed platform [1][17] - The company is expected to achieve revenue growth from 2025 to 2027, with projected revenues of 147.38 billion, 163.47 billion, and 183.68 billion yuan respectively [3][12] - The report highlights the company's focus on AI applications in the steel industry, integrating vast amounts of data and expertise to create comprehensive AI solutions [7][22] Financial Summary - Revenue for 2023 is projected at 12,916 million yuan, with a slight decline of 1.8% from the previous year, followed by a growth of 5.6% in 2024 [3][26] - Net profit for 2023 is expected to be 2,554 million yuan, with a significant increase of 16.8% from the previous year, but a decline of 11.3% is anticipated in 2024 [3][26] - The company’s earnings per share (EPS) for 2025 is estimated at 0.84 yuan, with a projected increase to 1.18 yuan by 2027 [3][12] Revenue Breakdown - Software development business is the main revenue source, expected to generate 99.11 billion yuan in 2024, accounting for 72.64% of total revenue [7][11] - Service outsourcing business is projected to contribute 36.56 billion yuan in 2024, representing 26.80% of total revenue [8][11] - System integration equipment business is a non-core segment, expected to generate only 0.65 billion yuan in 2024 [9][11] Growth Drivers - The company is leveraging AI to drive innovation in the steel industry, with over 100 AI application instances developed [7][22] - The industrial robot market is expected to grow at an annual rate of over 15%, with the company actively developing humanoid robots for various applications [40] - The report emphasizes the importance of self-controlled industrial automation as a core guarantee for development [39] Valuation Analysis - The report uses both PE and PS valuation methods, estimating a reasonable valuation of 969.99 billion yuan, corresponding to a target price of 33.64 yuan per share [12][14] - The company is expected to maintain a competitive edge in the market due to its strong self-developed platform and strategic positioning in AI and industrial robotics [14][22]

Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected stock price increase of over 15% compared to the benchmark index [4][6]. Core Insights - The company achieved a revenue of 13.644 billion yuan in 2024, representing a year-on-year growth of 5.64%. However, the net profit attributable to shareholders decreased by 11.28% to 2.265 billion yuan [1][4]. - The company is focusing on AI-driven transformation in the steel industry, with a research and development expenditure of 1.461 billion yuan, a slight increase of 0.50% year-on-year [2]. - The company has made significant advancements in developing domestically produced PLC products and is progressing with the construction of its cloud computing center [3]. Financial Performance Summary - Revenue for 2024: 13.644 billion yuan, up 5.64% from 2023 [7]. - Net profit for 2024: 2.265 billion yuan, down 11.28% from 2023 [7]. - Operating cash flow for 2024: 1.671 billion yuan, down 35.94% year-on-year [1]. - Revenue projections for 2025-2027 are 14.635 billion, 15.533 billion, and 16.396 billion yuan, respectively [4]. - Net profit projections for 2025-2027 are 2.546 billion, 2.756 billion, and 2.968 billion yuan, respectively [4].

Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected stock price increase of over 15% compared to the benchmark index [4][6]. Core Insights - The company achieved a revenue of 13.644 billion yuan in 2024, representing a year-on-year growth of 5.64%. However, the net profit attributable to shareholders decreased by 11.28% to 2.265 billion yuan [1]. - The company is focusing on AI-driven transformation in the steel industry, with a research and development expenditure of 1.461 billion yuan, a 0.50% increase year-on-year [2]. - The company has made significant advancements in large-scale PLC products, launching the Tianxing series of fully autonomous T3 and T4 PLC products [3]. - The long-term growth potential of the company is considered broad, with projected revenues of 14.635 billion yuan, 15.533 billion yuan, and 16.396 billion yuan for 2025, 2026, and 2027 respectively [4]. Financial Performance - In 2024, the company's operating income was 13.644 billion yuan, with a year-on-year increase of 5.64%. The net profit attributable to shareholders was 2.265 billion yuan, down 11.28% from the previous year [1][7]. - The company’s gross profit margin for software development and engineering services was 31.14%, while the service outsourcing segment had a gross profit margin of 44.93% [1]. - The projected earnings per share (EPS) for 2025, 2026, and 2027 are 0.88 yuan, 0.96 yuan, and 1.03 yuan respectively, with corresponding price-to-earnings (P/E) ratios of 30.92, 28.57, and 26.52 [4][7].