Event: the company released its three-quarter report in 2023. In the first three quarters, the company realized operating income of 875 million yuan (+ 13.26%), net profit of 174 million yuan (+ 25.52%), and non-return net profit of 162 million yuan (+ 30.28%). The revenue in a single quarter was 337 million yuan (+ 21.01%), the net profit was 73.42 million yuan (+ 70.41%), and the non-return net profit was 74.19 million yuan (+ 96.11%).
The operation of Q3 has improved and the gross profit margin continues to rise. The company's second-quarter performance was affected by the lack of domestic industrial manufacturing recovery, but the overall operation of Q3 was repaired, operating income and home net profit returned to steady growth, and the performance was in line with market expectations. The company's gross profit margin continued to rise, with the company's gross profit margin reaching 47.79% in the first three quarters, up 1.86pctGrai 2023Q3 to 46.98% in a single quarter, and 1.41pct in the same period last year. The increase in gross profit margin is mainly due to the company's continuous strengthening of cost control and the upgrading and transformation of core products leading to an increase in the share of software. 2023Q3's sales, management and R & D expense rate decreased 2.62/0.74/3.64pct compared with last year's Q3. We believe that as the company's high-margin EMS 2.0 products continue to roll out and the share of revenue continues to increase, there is still room for further improvement in the company's overall gross margin.
The policy of power reform has been continuously promoted, and there is a broad space for enterprise microgrid products. Recently, the General Office of the National Development and Reform Commission and the Comprehensive Department of the National Energy Administration issued the Circular on further speeding up the Construction of Electric Power spot Market, defining the timetable for the construction of provincial spot market and accelerating the construction of provincial spot market. Under the background of the continuous promotion of electricity reform, the demand of enterprises for electricity tariff management, power data analysis and management, market trading tools is expected to accelerate the release, and the market potential of enterprise microgrid system is huge. We believe that with the downstream economic recovery, corporate demand for microgrid systems is expected to accelerate release, the company is expected to usher in a period of steady growth.
According to the company's three-quarter report, the forecasts of sales expenses and R & D expenses are reduced, and the company's earnings per share for 23-25 years are forecast to be 1.05 shock 1.47 RMB 2.01 (the original forecast is 1.04 won 1.42 shock 1.91 RMB), maintaining the company's 34 times valuation in 2023, corresponding to the target price of 35.7 RMB, and maintaining the buy rating.
Risk hint
Risk of decline in gross profit margin; risk of increase in the size of accounts receivable; risk that other returns are lower than expected; risk aggravated by market competition; risk that market penetration is less than expected.