三大平台协同发力，MIM 铰链乘风折叠屏手机放量大周期MIM：折叠屏铰链增长动能充足。消费电子行业自23Q3 起持续复苏，公司MIM 业务营收逐季企稳回升，充分受益折叠屏手机放量&龙头供应商逻辑，前三季度营收yoy+88.5%，Q3 yoy+72.1%。公司紧随大客户新产品上市节奏，截至24H1 已配备5 条折叠机模组生产线。同时MIM 应用场景不断拓展，公司已成功开发高速连接器外罩MIM 件共计两个料号，截至24Q3均处于正常供货状态。公司持续加码MIM 业务资源投入，行业景气度向上，我们认为MIM 业务将为未来几年公司业绩增长贡献主要动能。Three-quarter report results: Achieved revenue of 3.611 billion yuan, yoy +29.8%; net profit to mother of 0.277 billion yuan, yoy +158.7%; net profit of 0.263 billion yuan, yoy +308% in the first three quarters of 24 years. Among them, Q3 achieved revenue of 1.258 billion yuan, yoy +23.4%, +0.5% month-on-month; net profit to mother of 0.087 billion yuan, yoy +22.2%, or -19.7% month-on-month.
Q3 revenue continued to increase year over year. The MIM business contributed the main driving force to the revenue side. The company achieved 3.611 billion yuan, yoy +29.8% in the first three quarters of 24, and 1.258 billion yuan in the Q3 quarter, +23.4%/+0.5% year over month. The first three quarters and Q3 revenue both achieved significant year-on-year growth. By business, P&S platform revenue for the first three quarters yoy +16.6%, Q3yoY +0.05%; SMC platform revenue for the first three quarters yoy -0.8%, Q3 yoy +15.1%; MIM platform revenue for the first three quarters yoy +88.5%, Q3 yoy +72.1%, and the MIM business maintained rapid growth. Looking ahead to the full year, the company's revenue target is 4.85 billion, and Q4 is expected to continue the growth trend.
On the profit side, the company's gross profit margin was 22.28% in Q3, -0.83/-2.52pct; the cost ratio for the period fell 0.76pct to 13.64% month-on-month, mainly due to the month-on-month decline in R&D expenses; in the end, it recorded a net interest rate of 8.27%, +1.00/-1.01pct. Profitability declined month-on-month, mainly because Q3 was the traditional low season for the company's P&S and SMC business, while the company's increased investment in MIM business resources affected short-term results.
The three platforms work together, and MIM hinges take advantage of a large cycle of folding screen phone sales MIM: folding screen hinges have sufficient growth momentum. The consumer electronics industry has continued to recover since 23Q3. The company's MIM business revenue has steadily rebounded quarterly, fully benefiting from folding screen phone sales volume & leading supplier logic. Revenue for the first three quarters was +88.5% yoy and 72.1% in Q3. The company follows the pace of new product launches from major customers. As of 24H1, it has been equipped with 5 folding machine module production lines. At the same time, the MIM application scenario continues to expand. The company has successfully developed a total of two types of MIM parts for high-speed connector covers, all of which are in normal supply as of 24Q3. The company continues to increase investment in MIM business resources, and industry prosperity is improving. We believe that the MIM business will contribute the main impetus to the company's performance growth in the next few years.
P&S: The automotive sector continues to expand, and the industrialization of axial magnetic flux motors accelerates. Revenue for the first three quarters was +16.6%, and Q3 yoy +0.05%. The company still has a lot of room for import substitution and global market expansion for powder metallurgy products in the automotive industry. At the same time, the company has increased the integration of P&S and SMC technology, and has built a 1000-square-meter axial flux motor assembly line. Overall sales have yet to be scaled up, so we are waiting to start.
SMC: The field of AI computing power opens up room for growth. Revenue for the first three quarters yoy -0.8%, Q3 yoy +15.1%
The photovoltaic/NEV sector is expected to account for the majority of SMC's revenue. At the same time, the company will follow the AI computing power development trend and actively promote the development of integrated metal soft magnetic inductors.
Investment advice: As a leader in the domestic powder metallurgy industry, the company's three main businesses work together, and MIM hinge is expected to fully benefit from the folding screen phone volume & leading supplier logic. We expect the company's net profit to be 4.04/ 5.21/ 0.631 billion yuan respectively for 24-26, corresponding to the closing price on November 1, PE will be 26/20/17x, respectively, maintaining a “buy” rating.
Risk warning: risk of market demand falling short of expectations; risk of large fluctuations in raw material prices; risk of production technology; risk of project construction falling short of expectations; exchange rate risk.
