Core Viewpoint - The company reported a steady growth in revenue and net profit for 2024, with a focus on expanding its overseas business and maintaining strong sales margins in its electric meter segment [1][2][3]. Financial Performance - In 2024, the company achieved a revenue of 2.029 billion yuan, a year-on-year increase of 14.54% - The net profit attributable to shareholders was 665 million yuan, up 9.45% year-on-year - The net profit excluding non-recurring items was 645 million yuan, reflecting a growth of 22.89% year-on-year - For Q4 2024, the company reported a revenue of 483 million yuan, a decrease of 7.71% year-on-year and 9.17% quarter-on-quarter - The net profit for Q4 was 123 million yuan, down 25.47% year-on-year and 38.70% quarter-on-quarter [1]. Business Segments - The smart metering and collection systems segment generated revenue of 1.641 billion yuan, a year-on-year increase of 14.31%, with a gross margin of 51.15%, up 3.84 percentage points - The IoT sensors and accessories segment saw revenue of 167 million yuan, a significant growth of 48.85%, with a gross margin of 33.12%, up 4.27 percentage points - The smart power distribution products and systems segment achieved revenue of 86 million yuan, a growth of 9.06%, with a gross margin of 23.08%, up 0.25 percentage points - The smart power terminal and systems segment reported revenue of 65 million yuan, a decrease of 16.54%, with a gross margin of 41.61%, down 6.37 percentage points - The smart flow meters and systems segment had revenue of 54 million yuan, a slight decrease of 0.79%, with a gross margin of 24.57%, down 9.68 percentage points - Overall, the company's sales gross margin improved by 2.72 percentage points to 47.55% [2]. International Expansion - The company achieved overseas revenue of 203 million yuan, a year-on-year increase of 56.04%, with a gross margin of 36.84%, down 1.01 percentage points - The company is a key supplier and strategic partner for major power companies in Europe, including E.ON in Germany and Hungary - The company is actively expanding its market presence in Europe, Southeast Asia, Central Asia, and Africa, with expectations for significant contributions from overseas electric meter business in the future [3]. Profit Forecast and Valuation - The company maintains a steady growth outlook, with profit forecasts for 2025, 2026, and 2027 set at 762 million yuan, 886 million yuan, and 990 million yuan respectively - Corresponding EPS for these years are projected to be 1.48 yuan, 1.72 yuan, and 1.93 yuan - The current stock price corresponds to a PE ratio of 10, 9, and 8 times for 2025, 2026, and 2027 respectively - As a leading domestic smart meter company, the firm is well-positioned to benefit from the growing domestic demand for electric meters while actively pursuing international market opportunities, indicating strong growth potential [3].