Event: the company released its Triple report for 2023. In the first three quarters of 2023, the company achieved revenue of 705 million yuan, an increase of 15.36 percent over the same period last year, and a net profit of 68 million yuan, an increase of 55.32 percent over the same period last year.

Gross profit margin is higher than the same period last year, and the performance is gradually released. The company promotes the application of products in various downstream fields, actively promotes the delivery of orders, revenue and profit growth compared with the same period last year, and the performance is gradually released. The company's 2023Q3 achieved revenue of 190 million yuan, an increase of 5.10% over the same period last year, and a net profit of 15 million yuan, an increase of 19.56% over the same period last year. The company promotes product technological innovation, improves product performance, optimizes order structure, while controlling the procurement cost of raw materials, order profitability shows. The gross profit margin in the first three quarters of 2023 was 31.57%, an increase of 6.97pct over the same period last year. In terms of expense rate, the company's sales and management expense rates in the first three quarters of 2023 were 6.96% and 5.46% respectively, an increase of 0.14pct and 0.85 pct year-on-year, while the company's R & D expenditure rate was 8.11% in the first three quarters of 2023, down 1.04pct from the same period last year. The company's net interest rate in the first three quarters of 2023 was 9.66%, an increase of 2.48pct over the same period last year.

With the optimization of corporate production process and manufacturing process, profitability is expected to be further improved in the future.

Orders have increased steadily, and the layout of international business has gradually landed. As of September 26, 2023, the company's new orders from January to September 2023 totaled 916 million yuan, mainly in new energy (including lithium battery, photovoltaic), aerospace, petrochemical, pharmaceutical and tobacco industries, including 622 million yuan in the third quarter of 2023. Orders are growing steadily. The company promotes the layout of international business and applies for the establishment of wholly-owned subsidiaries in Germany and the United States respectively, of which "Lanjian USA" has been registered and "Lanjian Germany" is in the registration stage. At present, the company has projects in Japan, the United States and Germany, and will take the two intelligent warehousing systems that have been put into operation in the United States and Germany as demonstration projects to actively open up the international market.

The construction of production capacity has been gradually improved, and the development of autonomy and intelligence has been accelerated. In terms of capacity construction of fund-raising projects, the company's super future factory phase I and Phase II have been put into use, the third phase of the main project has also been completed, capacity construction has been gradually improved. After the completion of the investment in the third phase of construction, it will be able to meet the demand for sustained growth of production capacity in the next 2-3 years. A number of intelligent logistics technologies independently developed by the company have been applied in actual projects. The company collects and establishes a large number of scene data, and forms the core competitiveness through excellent optimization algorithms. The company will accelerate the development of intelligent logistics and its equipment to the direction of autonomy and intelligence.

Profit forecast, valuation and rating: the company's revenue and profits are growing, and the profitability is enhanced. The company continues to open up new business areas, sufficient orders on hand, capacity construction is gradually improved, we are optimistic about the follow-up development space of the company.

We maintain the company's 2023-2025 homing net profit forecast of 1.31,1.67,207 million yuan, corresponding to EPS 1.81,2.30,2.85 yuan, corresponding to PE 20x, 16x, 13x, maintain the "buy" rating.

Risk tips: macro environmental risk; unsustainable risk of customer orders; bad debt risk of accounts receivable and contract assets; stock price fluctuation risk of secondary new shares.