The net profit of homecoming in the first three quarters of 23 fell 0.48% from the same period last year, maintaining the "buy" rating.
The company released its third quarterly report for 2023, with revenue of 5.642 billion yuan in the reporting period, an increase of 14.31% over the same period last year, and a net profit of 2.031 billion yuan, down 0.48% from the same period last year. Of this total, 23Q3 realized income of 1.908 billion yuan, down 6.08% from the same period last year, and realized net profit of 639 million yuan, down 24.21% from the same period last year.
Due to the slowdown in the purchasing pace of downstream customers, we downgrade the company's profit forecast, and it is estimated that the company will achieve a net profit of 27.283.624 billion yuan from 2023 to 2025 (the previous value is 31.74 million 41.61 million yuan), and the corresponding PE is respectively times that of 23-17-13. According to Wind consensus expectations, comparable company 24-year average PE of 31X, giving the company 24-year PE 31X, corresponding to a target price of 132.37 (previous value of 130.90 yuan), maintaining a "buy" rating.
The expenditure rate has increased, and R & D investment has remained high.
The revenue side of the company grew in the first three quarters. In terms of gross profit margin, the overall gross profit margin in the first three quarters was 63.82%, which was lower than that in the same period last year. The gross profit margin in the third quarter was 62%, which was lower than that in the same period last year. This is mainly due to the impact of changes in product structure. In terms of expense rate, the expense rate in the first three quarters was 25.94%, an increase of 5.01pct over the same period last year. Among them, sales expenses increased by 20.45% year-on-year, accounting for 4.09% of revenue, management expenses increased by 28.65%, accounting for 3.70% of income, and R & D expenses increased by 38.01%, accounting for 18.51% of income. The company maintains high-intensity R & D investment and continues to consolidate its competitiveness.
Stripping off Tangshan Crystal Source and focusing on the main Industry of Integrated Circuits
According to the needs of the company's business development, Tangshan Guoxin Jingyuan Electronics Co., Ltd., a wholly-owned subsidiary of the company, transferred its 100% equity stake in Tangshan Jingyuan Electronics Co., Ltd. through the Hebei property rights market. The transaction price is determined at RMB 47.9597 million based on the evaluation value of the above equity. On September 6, 2023, the industrial and commercial change registration procedures for the above-mentioned equity changes were completed. At this point, Tangshan Jingyuan Electronics Co., Ltd. is no longer included in the scope of the company's consolidated financial statements. The company will further focus on the main integrated circuit business, divesting the crystal business will effectively improve the company's gross profit margin, enhance the company's profitability and management pressure, and maintain the competitiveness of the core areas.
The development of new products is smooth, actively prepare goods to meet the downstream demand
Since the beginning of this year, the company has launched new products in the fields of FPGA, special memory, SoPC and MCU, and has entered the promotion or customer introduction stage; the research and development of products such as DSP, video chip and high-speed RF ADC is progressing smoothly; in the field of special integrated circuits, the company continues to improve product categories and enhance customer stickiness, and new growth points continue to emerge. Inventory and contract liabilities increased significantly, indicating that the actual demand downstream is strong. As of the third quarter, the company's inventory was 2.8 billion yuan, an increase of 34.71% over the same period last year, and the contract debt was 954 million yuan, an increase of 64.57% over the same period last year. The company actively prepared goods to cope with the release of downstream demand.
Risk hint: the order is less than expected risk, product price reduction risk.