The company published its 24-year semi-annual report. The company 24H1 achieved revenue of 4.416 billion yuan, 30.90% year-on-year, and net profit of 1.121 billion yuan, or 51.57% year-on-year, after deducting not 0.861 billion yuan, or 30.42% year-on-year. Of these, 24Q2 achieved revenue of 2.575 billion yuan, 16.33% YoY, net profit attributable to mother of 0.722 billion yuan, or 34.91% YoY after deducting non-0.519 billion yuan, or 4.37% YoY.

The 24H1 deduction is inconsistent with 23H1. After restoration, the growth rate of non-net profit after deduction matches revenue, and profitability is stable. 24Q2 gross margin increased 0.18pp to 51.89%, sales/management/R&D expense ratios changed 0.14pp/0.60pp/1.36pp to 19.54%/3.26%/8.35%, respectively, and 24Q2 net profit margin to mother was 3.86pp to 28.04% year-on-year. On the face of it, the growth rate after deduction is lower than the growth rate returned to the mother; it needs to be restored to a comparable caliber. Receiving a tax refund of 0.058 billion yuan in 23H1 was not an unprocessed project, and after being audited during the 23 annual report period, 24H1 continued to count the receipt of tax refunds as an unprocessed project. If you consider a comparable caliber, look at 24Q2 alone after restoration. The company's net profit after deduction increased by about 18% over the same period last year, matching the revenue growth.

Profit forecasting and investment advice. The company's overseas channels are rapidly expanding, the share continues to increase, and the product structure continues to be optimized. We are confident that the company's revenue and performance will continue to grow rapidly. As a leader in the growing industry, the company has outstanding α under beta support. We expect the company to achieve net profit of 2.571 billion yuan in 2024, giving the company a PE valuation of 22-25 times in 2024, corresponding to a reasonable value range of 306.68-348.5 yuan, maintaining a “superior to the market” rating.

Risk warning. Competition in the industry intensifies, and overseas demand fluctuates.