产品结构优化叠加汇率波动致毛利率下滑，始终重视研发投入2023 年/2023Q4/2024Q1 公司毛利率分别为30.70%/33.46%/27.58%，同比+0.26/-1.24/-2.30pcts，汇率变动及产品结构的变化导致公司毛利率有所下滑；归母净利率分别为11.67%/13.00%/7.28%，同比-4.29/-3.Event: The company released the 2023 annual report and the first quarter report of 2024
The company released its 2023 annual report and 2024 first quarter report. 2023/2023Q4/2024Q1 achieved operating income of 38.60/9.00/764 million yuan, -11.16%/-7.79%/-12.30%, respectively; realized net profit to mother of 4.51/1.17/ 0.56 billion yuan, respectively, -35.02%/-25.51%/-30.63%; realized net profit without return to mother of 387/1.03 billion yuan, year-on-year- 37.31%/-9.72%/+2.19%.
The innovative consumer electronics business declined. The automotive electronics business developed brightly in 2023. By product, the company's revenue from intelligent control components/innovative consumer electronics/automotive electronics/health and environmental products/technology R&D services was 13.31/11.55/5.14/3.78/1.13, respectively, +30.50%/-48.37%/+42.37%/+36.77%/+18.11%, respectively. The decline in revenue from innovative consumer electronics products was mainly affected by fluctuations in order demand from some customers. The gross margins of intelligent control product components/innovative consumer electronics/automotive electronics products were 23.73%/34.88%/28.05%, respectively, -4.00/+3.67/-1.18pcts year-on-year, respectively.
Product structure optimization compounded the decline in gross margin due to exchange rate fluctuations. We have always focused on R&D investment in 2023/2023Q4/2024Q1, and the company's gross margin was 30.70%/33.46%/27.58%, respectively, +0.26/-1.24/-2.30pcts. Changes in exchange rate and product structure led to a decline in the company's gross margin; the net profit margin to mother was 11.67%/13.00%/7.28%, respectively.
09/-1.92pcts In 2023/2023Q4/2024Q1, the company's sales expense ratios were 2.27%/3.27%/2.19%, respectively, +0.31/+0.13/+0.09pcts; management expenses rates were 4.72%/-0.73%/7.65%, +0.20/-1.80/+0.44pcts, respectively; R&D expenses rates were 9.37%/10.62%/10.34%, respectively, +0.80/0.98/+0.65pcts; financial expense ratios were -0, respectively.
64%/-0.17%/-0.90%, +2.28/ -2.88/ -3.10pcts year over year. Despite short-term pressure on the company's performance, it still insists on guaranteeing investment in R&D. Since its listing, the company has continued to increase R&D investment in new technologies, new products and new processes, and accumulate and deposit key technologies.
Investment advice
We are optimistic that the company will actively cooperate with major customers to develop large single products based on the UDM model. The e-cigarette business heating module and complete machine projects are expected to expand, the household engraving machine business is expected to improve, and it is expected to actively expand new product lines, and incubate new products. We expect the company's 2024-2026 revenue to be 45.48/56.89/6.909 billion yuan, respectively, up 17.8%/25.1%/21.5% year on year; net profit to mother will be 522/7.04/911 million yuan, respectively, up 15.9%/34.8%/29.4% year on year, respectively. As of April 26, 2024, the total share capital and EPS corresponding to the closing market value were 0.67/0.90/1.17 yuan, respectively, and the corresponding PE was 22.10/16.40/12.67 times, respectively. Maintain a “buy” rating.
Risk warning
Export product market and policy risks, risk of relative concentration of customers, risk of falling product gross margin, risk of fluctuations in raw material prices, risk of exchange rate fluctuations.