The company's 2023 results are in line with expectations:
1) Achieved revenue of 47.075 billion yuan, +13.08% year over year; realized net profit of 3,506 billion yuan, +52.04% year over year; realized net profit without deduction to mother of 2,708 billion yuan, +109.51% year over year.
2) Gross sales margin of 27.54%, +5.71 pct year on year; net sales margin of 8.01%, +2.28 pct year on year; period expense ratio 18.36%, +2.86pct year on year; sales/management/R&D/finance expenses ratio changed by +1.23/+0.26/+1.29/+0.08pct year on year, respectively.
By product:
Concrete machinery/hoisting machinery/earthmoving machinery/other machinery and products/agricultural machinery achieved revenue of 85.98/192.91/66.48/57.07/42.42/2.092 billion yuan respectively, yoy was +1.63%/+1.64%/+89.32%/+24.16%/+23.16%/-2.17%, respectively; gross margins were 22.92%/31.04%/27.93%/22.66%/26.65%/11.74%, yoy They are +1.89pct/+8.13pct/+4.46pct/+1.85pct/+9.39pct/+7.31pct/, respectively.
The company comprehensively accelerates overseas business development:
The company's overseas business continued to break through record highs. Foreign business revenue in '23 was +79.2%, accounting for 38.04% of revenue, yoy+14.04pct; effective breakthroughs were achieved in key markets, localization development strategies in key countries achieved remarkable results, and product market share increased rapidly. The company has built an overseas business system based on “end-to-end, digitalization and localization”, implemented an end-to-end business model, promoted the construction and layout of outlets in depth, further promoted the expansion and upgrading of overseas production bases, and supported the rapid growth of overseas business.
The growth momentum of the industrial echelon continues to increase:
The market position of the company's three traditional dominant industries, concrete machinery, construction hoisting machinery, and construction hoisting machinery is steadily rising, and product competitiveness continues to increase; at the same time, new breakthroughs have been achieved in emerging potential businesses. Among them, earthmoving machinery expands the product spectrum coverage and accelerates the improvement of the electric product spectrum series; aerial work machinery quickly became the leading domestic market in the industry, ranking first in the market share of small and medium-sized customers in the domestic market; mining machinery focuses on the open pit mining market, speeding up market expansion and team building, and officially entering the high-end mining equipment market; the agricultural machinery industry accelerates transformation and upgrading to achieve main sales Full model coverage.
Profit forecast: Considering factors such as the narrowing of export growth, we lowered our profit forecast. The company's net profit for 24-26 is estimated to be 45.26/55.64/6.377 billion yuan (48.97/5.895 billion yuan 24-25 years ago), and PE is 16.3/13.3/11.6 times, respectively. Maintaining a “buy” rating and continuing to recommend!
Risk warning: There is uncertainty about the international situation and macroeconomic situation; exchange rate fluctuations have increased, and there is a risk that profits from overseas investment and sales will decline.