Core Viewpoint - 招银国际 projects that Minth Group (00425) will experience a slight decline in gross margin from 28.9% in 2024 to a range of 28.5% to 28.7% from this year to 2027 due to an increase in sales of lower-margin battery casing products [1] Financial Projections - The company is expected to see a year-on-year net profit increase of 15% to 19%, reaching RMB 2.7 billion, RMB 3.1 billion, and RMB 3.7 billion for the respective years [1] - The target price for Minth has been raised from HKD 26 to HKD 38, maintaining a "buy" rating [1] Operational Performance - Key operational indicators for Minth in the first half of the year, including new business orders, R&D, capital expenditure, localization, and cash flow, have shown robust performance, enhancing confidence in operational efficiency [1] - The company is positioned favorably compared to most peers in the global automotive parts industry [1] Revenue Growth Expectations - Based on increasing order backlogs, revenue is projected to grow by 12% and 13% year-on-year in the next two years [1] - Contributions from products related to robotics and electric vertical takeoff and landing vehicles are expected to be minimal, but any new business reaching a turning point could lead to higher revenue growth [1]