Investment Rating - The investment rating for Hisense Visual (600060) is "Buy" [1] Core Views - The company achieved a revenue of 42.83 billion yuan in the first three quarters of 2025, representing a year-on-year increase of 5.36%, and a net profit attributable to shareholders of 1.629 billion yuan, up 24.28% year-on-year [2] - The company's main business is experiencing steady growth, with a focus on optimizing and upgrading product structure, particularly in the smart display terminal and new display businesses [3][4] - The gross profit margin has improved, with a gross margin of 15.66% for the first three quarters of 2025, an increase of 0.84 percentage points year-on-year [4] - The company is advancing its global layout and high-end strategy, enhancing its core competitiveness through technology-driven product innovation [5] - The profit forecast has been adjusted, with expected revenues of 63.1 billion, 69.1 billion, and 74.7 billion yuan for 2025, 2026, and 2027 respectively, and net profits of 2.53 billion, 2.80 billion, and 3.10 billion yuan for the same years [6] Summary by Sections Financial Performance - In Q3 2025, the company reported a revenue of 15.6 billion yuan, a year-on-year increase of 2.70%, and a net profit of 573 million yuan, up 20.25% year-on-year [2] - The company’s gross profit margin for Q3 2025 was 14.44%, an increase of 0.51 percentage points year-on-year [4] Business Growth - The smart display terminal business is growing steadily, with a domestic retail market share increase of 1.2 percentage points to 30.1% in the first three quarters of 2025 [3] - The new display business has seen significant revenue growth, particularly in commercial display and laser business, with commercial display revenue increasing by over 149% [3] Profitability and Forecast - The company’s net profit margin for the first three quarters of 2025 was 3.80%, an increase of 0.58 percentage points year-on-year [4] - The expected earnings per share (EPS) for 2025, 2026, and 2027 are projected to be 1.94, 2.15, and 2.37 yuan respectively [6]