According to the research report released by Zhifang Finance and Economics APP, Tianfeng Securities maintains a "buy" rating for TCL Electronics (01070) and predicts that the company's adjusted net income attributable to shareholders will be HKD 1.35/1.64/1.97 billion in 2024-2026, taking into account stock-based incentive targets. It is estimated that the year-over-year growth rate of the company's adjusted net income attributable to shareholders in the first half of 2024 will be around 130% - 160%. After calculation, the company is expected to achieve adjusted net income attributable to shareholders of HKD 0.6-0.68 billion in 2024 H1. The TV business has achieved outstanding results in high-end + globalization strategies, and the Internet business is expected to continue to stably contribute to performance. The innovative business has entered a stage of volume increase. The bank is bullish on the company's stable world-leading position in the television field, as well as the medium- and long-term performance elasticity brought by the expansion of new business scale and profit improvement.

According to the report, the global TV market situation is clear, and the market share of domestic black appliances is expanding. On the industry side, according to Ovidret data, global TV shipments in 24Q1 were 43.2 million, a year-on-year decrease of 0.8%, showing that the global space of the industry is stabilizing. Europe and emerging market TV demand have recovered. On the company side, in 24Q1, TCL brand global shipments increased by 4% year-on-year, outperforming the industry. In addition, in the first half of the year, the company vigorously promoted the high-end strategy, promoting structural upgrades represented by Mini LED, and deepened its global business. According to Ovidret, the company's shipments in the Chinese market in 24Q1 grew the fastest (up 13.7% year-on-year), and the scale of shipments in Europe increased at an impressive rate (up 9.5% year-on-year). Shipments in North America maintained their leading position, and shipments in emerging markets increased by 4.1%. At the same time, it actively develops new businesses and promotes significant improvement in the operational performance of multiple business lines, including display and innovative business. On the expense side, thanks to economies of scale and quality improvement, the overall expense ratio of the company in 24H1 effectively decreased, and operating efficiency continued to improve.