Overall performance: due to the impact of high inflation in overseas markets and global central bank interest rate increases to curb consumption, superimposed by the energy crisis in the same period last year, the high base 23H1 realized income of 921 million yuan, year-on-year-30%, homed net profit-51 million yuan, year-on-year-132%, deducted non-homed net profit-82 million yuan, year-on-year-155%, of which non-recurrent profit and loss were mainly government subsidies of 15 million yuan, investment income of 25 million yuan. 23Q2 realized income of 473 million,-33%, ring + 5%; net profit of-21 million,-125%; deduction-37 million,-147% profitability analysis: in 23Q2, the company's gross profit reached 36.6%, same-9.2, ring-5.1pct, mainly due to the pressure of high-cost inventory, in the fierce industry competition and weak terminal demand, the price reduction promotion of old products, the current inventory has been gradually cleared. The net profit margin reached-4.5%, same as-16.9pct, ring + 2.1pct, mainly for the management team, sales team expansion, and global channel expansion. In the first half of the year, the number of management and functional personnel reached 271, with + 70.44%.

Sales staff reached 302, with + 85%, related labor costs with + 130%, sub-product point of view: 23H1 solar photovoltaic panel income of 150 million yuan, the same as-52%, but the gross profit margin increased 0.62pet, is expected to benefit from the decline in raw material prices, the company's own research and production proportion increased. The company increased R & D investment, 23H1 R & D investment of 0.77 billion yuan, with + 72%. The company has obtained a total of 426 patents at home and abroad, including 43 invention patents and 58 international industrial design awards, including German Red Dot Award, IF Design Award, American IDEA Silver Award, Japan G-Mark Design Award, Italy A'Design Platinum Award, CES Best Innovation Award and so on.

From a regional point of view: 23H1 North America income 480 million yuan (same-31%), Asia (excluding China) 230 million yuan (same-37%), European income 100 million yuan (same-37%), other regions 8 million yuan (same + 20%), Chinese income 97 million yuan (same + 20%). The company has added 7 independent websites of global brands in Australia, France, Italy, Spain, the European Union, Hong Kong and Macau, with a total of 15 sites.

From a sub-channel point of view: 23H1 offline retail channel revenue accounts for 33%, with + 7.6pet, it has entered more than 6000 global well-known retail stores, set up 16 overseas warehouses, has 10 global after-sales service points, and is able to serve nearly 3 billion potential users worldwide. Cooperate with UPS, Fedex and other global high-quality logistics suppliers to achieve the last kilometer network distribution and optimize the global logistics layout.

Investment suggestion: taking into account the changes in the global consumer environment, we adjust the company's 2023-2025 net profit forecast to 3.8amp 6.4 / 950 million yuan (the previous forecast is 7.2pm 11.8 / 1.85 billion yuan), corresponding to the current market capitalization PE is 22-13-9 times.

Considering that the company is a global portable optical storage leading enterprise with its own brand, the global offline channel accelerated layout, optimistic about the company's medium-and long-term development potential, adjust the company's target price to 91.75 yuan / share (the previous 223.82 yuan / share), corresponding to 23 years PE is 30 times, maintain the "buy" rating.

Risk tips: global consumption recovery is less than expected, market competition intensifies, and so on.