Event: according to the company's quarterly report for 2023, 3Q23 achieved revenue of 780 million yuan, + 6.3% year-on-year, and net profit of 85 million yuan, + 44.4% year-on-year. 1~3Q23 achieved a total revenue of 2.25 billion yuan, + 2.3% year-on-year, and a net profit of 250 million yuan, + 18.1% year-on-year.
Subsidiary Dingzhi science and technology research and development efforts, product matrix continues to enrich. The income of the company's subsidiary Dingzhi Technology in the first three quarters was 238 million yuan, down 7.51% from the same period last year, and the net profit of its parent was 67.18 million yuan, down 20.38% from the same period last year, mainly because Dingzhi Technology stepped up its R & D efforts and invested in the construction of intelligent manufacturing bases and R & D centers. Dingzhi Technology has made technological breakthroughs in the fields of linear actuators, voice coil motors, hollow cup motors and matching precision gearboxes, and the developed active shock absorber screw assembly has been designated by a head mainframe factory.
Continuous progress has been made in extension and extension to strengthen the strength of the new energy vehicle plate. In the new energy vehicle sector, the company has arranged electronic water pumps, lidar motors, integrated aluminum die-casting, compressor motors and other products, with Yutong, Jinlong, Elsie, Kaescu, Haili New Energy, Tudatong, Otto Liv, Mino, Decos and other customers to establish strategic cooperation. In July, the company acquired a 59.09% stake in Wuxi Shike Micro Motor Co., Ltd. by way of equity transfer and capital increase, and entered the supply chain of a number of leading automobile companies at home and abroad, helping the company to further improve the thermal management product line of new energy vehicles. In September, the company announced plans to increase investment in Anhui Kestin with monetary funds of 167 million yuan, raising its shareholding to 80.53%, adding to the precision aluminum die-casting field of new energy vehicles.
Aim at the North American market and increase the overseas layout. In October, the company said on the investor interaction platform that it had a large number of orders in the North American market for home appliances, medical care, industrial control and other application areas, and expected a higher growth rate in the future. In order to ensure the stability of the supply chain, the company plans to build a factory in Mexico to meet the order demand of the North American market, and the stickiness with North American customers is expected to be further improved.
Investment advice and valuation: according to the company's three quarterly reports, we expect the company's revenue from 2023 to 2025 to be 3.159 billion yuan, 3.861 billion yuan and 4.839 billion yuan respectively, with revenue growth rates of 8.9%, 22.2% and 25.3%, respectively. the net profit of returning home was 344 million yuan, 474 million yuan and 608 million yuan, respectively, with growth rates of 33.0%, 37.7% and 28.3%, respectively. Maintain the "overweight" investment rating.
Risk tips: the development of the robot industry is not as expected; the sales of household appliances are declining; the risk of rising prices of raw materials.