Main points of investment

Event: Matsui released a report on the third quarter of 2023, saying that in the first three quarters of 2023, the company realized revenue of 415 million yuan, up 6.95% from the same period last year; realized net profit of 53.6043 million yuan, down 16.16% from the same period last year; and realized deduction of 47.3621 million yuan from non-homed net profit, down 18.00% from the same period last year. In a single quarter, 2023Q3 achieved revenue of 169 million yuan, an increase of 21.57% over the same period last year, an increase of 11.61% over the same period last year, a net profit of 26.8862 million yuan, an increase of 6.67% over the same period last year, an increase of 13.52% over the previous quarter, and a net profit of 24.326 million yuan, an increase of 7.88% over the same period last year and 11.36% over the previous year.

2023Q3, the arrival of the traditional sales season in the consumer electronics industry, driving the improvement of terminal demand, the company actively grasps the development opportunities of the industry, and the third quarter revenue of mobile phone and related accessories paint, notebook computer and related accessories paint all maintained a good growth trend compared with the same period. At the same time, the company continued to open up customers in the field of passenger car coatings and maintained a steady development momentum. 2023Q3's passenger car paint business achieved a business income of 26.626 million yuan, an increase of 23.25% over the same period last year and 14.02% month-on-month growth. Under the background that the revenue of the two main businesses of consumer electronic coatings and passenger car coatings have achieved healthy growth, 2023Q3's net profit has also been significantly improved compared with the same month.

Maintain the investment rating of "overweight". Matsui Co., Ltd. is a high-tech enterprise focusing on high-end paints. Its products are widely used in 3C high-end consumer electronics and passenger cars, and have grown into a supplier of platform functional coating materials with innovative R & D as the core. Relying on its own technology and services, the company's customers have successfully entered the supply system of many internationally renowned consumer electronics enterprises and vehicle / parts enterprises. Looking to the future, the newly established Vietnam Sun Company of the company will speed up its own process of internationalization. With the growth of global demand for high-end electronics and the rise of domestic consumer electronics manufacturers, the company's 3C consumer electronic paint business is expected to continue to expand. At the same time, the company signed an investment contract with the people's Government of Youxian County to invest in the construction of automotive paint production base locally. With the increase of production, sales and permeability of new energy vehicles, the company's automotive paint business is expected to fully benefit and have a broad space for development. We adjust the company's eps forecasts for 2023-2025 to 0.75,1.21,1.70 yuan respectively, maintaining the "overweight" investment rating.

Risk hint: the project construction is less than the expected risk, the customer expansion is less than the expected risk, and the downstream demand is less than the expected risk.