Core Viewpoint - The company, Toradex, has reported significant growth in both revenue and profit for 2024, driven by its dual business strategy focusing on outdoor products and chip technology, indicating a robust market position and operational efficiency [1][6]. Group 1: Financial Performance - In 2024, the company achieved an operating revenue of 1.592 billion yuan, a year-on-year increase of 14.44%, and a net profit attributable to shareholders of 107 million yuan, up 48.50% [1]. - The outdoor business segment generated 1.369 billion yuan in revenue, reflecting an 8.91% growth compared to the previous year [2]. - The chip business reported an operating revenue of 222 million yuan, marking a 66.56% increase, with a net profit of 32.03 million yuan, up 183.30% [6]. Group 2: Business Strategy and Operations - The company has implemented a dual strategy of "outdoor + chip" to enhance its market presence and operational efficiency [1][8]. - A high-efficiency BOM system has been established to optimize inventory management and ensure stable supply chain operations [3]. - The company has adopted a flexible ordering model with four rolling R&D sessions annually, allowing for small-batch production and rapid response to market demands [3]. Group 3: Product Development and Innovation - The outdoor apparel segment remains a key revenue driver, contributing 70.39% to total revenue, while outdoor footwear and equipment also saw growth rates of 14.72% and 4.37%, respectively [4]. - The company has launched innovative outdoor smart equipment, including lower limb exoskeletons and smart skiing helmets, enhancing the outdoor experience through advanced technology [4][5]. - Continuous investment in R&D has led to the establishment of a technology platform with 138 patents in the outdoor segment and 259 in the chip segment, showcasing the company's commitment to innovation [8]. Group 4: Market Trends and Future Outlook - The outdoor sports industry is projected to exceed 3 trillion yuan by 2035, driven by increasing participation and policy support [2]. - The company aims to leverage its technological advancements to establish a new benchmark in the global outdoor industry by 2025 [8][9]. - Collaborations with institutions like Tsinghua University are set to enhance the company's capabilities in smart wearable technology and high-performance materials [9].

Core Insights - The company reported a significant turnaround in its financial performance for 2024, achieving a revenue of 1.592 billion yuan, a year-on-year increase of 14.44%, and a net profit of 84.12 million yuan, marking a historic return to profitability [1] - The chip business emerged as a key growth driver, with a net profit of 32.03 million yuan, representing a remarkable year-on-year growth of 183.30%, contributing over 30% to the group's total net profit [1][4] Outdoor Business Development - The outdoor segment maintained a strong position in the domestic market, generating revenue of 1.369 billion yuan, an increase of 8.91% year-on-year [2] - The company has demonstrated robust R&D capabilities by supporting major national projects, including space missions and deep-sea explorations, enhancing its reputation in the outdoor industry [2] Strategic Innovations - The company launched four core products, including a lower limb exoskeleton and a 5G smart outdoor watch, to synergize outdoor sports with its chip business, reinforcing the "outdoor + chip" dual business model [3] - Strategic partnerships were established for the development of wearable exoskeletons and smart wearable devices, indicating a deep integration of academia and industry [3] Chip Business Performance - The chip business achieved a revenue of 222.31 million yuan, a year-on-year increase of 66.56%, and its net profit accounted for 30.04% of the group's total net profit [4] - The company focused on three innovation directions in its chip business, including touch ICs and Mini LED display drivers, enhancing its market competitiveness and technological edge [5] New Product Launches - The company introduced the TransHolo holographic transparent screen, featuring advanced technologies that redefine industry standards, including high brightness and energy efficiency [6] - The integration of various technologies has established a comprehensive technical moat covering touch, drive, and packaging, positioning the company for future growth in the display industry [6] Shareholder Returns - The company plans to distribute a cash dividend of 0.12 yuan per 10 shares, totaling 10.14 million yuan, while committing to a shareholder return plan for 2025-2027 [7] - The dual business model of "outdoor + chip" is expected to drive continuous innovation and global brand expansion, enhancing the company's competitive advantage [7]

Investment Rating - The investment rating for the company is "Buy" [1] Core Views - The company has shown strong performance in its outdoor business and G2 segment, with significant growth in revenue and net profit [2][4] - The G2 Touch acquisition is expected to continue contributing positively to the company's performance, particularly in the automotive sector [8] - The company is launching innovative outdoor smart equipment, which is anticipated to enhance brand strength and profitability [8] Financial Summary - For 2024, the company's revenue is projected to be 1.592 billion, with a year-on-year growth of 14.4%, and net profit is expected to reach 107 million, reflecting a 48.5% increase [10] - The gross margin for 2024 is estimated at 47.4%, slightly down from the previous year, while the net profit margin is expected to improve to 6.7% [5][10] - The company plans to distribute a cash dividend of 0.12 per 10 shares, resulting in a dividend payout ratio of 9.6% [2] Business Performance - The outdoor segment's revenue for 2024 is expected to be 1.369 billion, with a net profit of 124 million, marking an 8.91% and 135.1% year-on-year growth respectively [4] - The G2 Touch segment is projected to generate 189.4 million in revenue for 2024, with a significant net profit contribution [5] - The company has successfully improved its inventory turnover days, indicating better inventory management [7] Future Projections - Revenue forecasts for 2025 and 2026 are set at 2.011 billion and 2.280 billion respectively, with net profits expected to be 237 million and 276 million [10] - The company anticipates maintaining a strong growth trajectory, with EPS estimates of 0.27 for 2025 and 0.31 for 2026 [10]