Key points:

The 24Q3 results were under short-term pressure, and net profit fell month-on-month due to exchange losses. The company achieved revenue of 13.348 billion yuan, or -0.42% year over year, of which Q3 achieved revenue of 4.41 billion yuan, -7.16%, and -4.92% month-on-month; in the first three quarters of 24, it achieved net profit of 0.501 billion yuan to mother, +13.23% year over year, achieving net profit without return to mother of 0.433 billion yuan, or +3.31% year over year. Among them, Q3 achieved net profit attributable to mother of 0.102 billion yuan, -15.01% YoY, -42.80%; realized net profit of 0.081 billion yuan (YoY), -28.92% YoY, -46.91% (YoY); the month-on-month decline in net profit was mainly due to exchange losses.

The gross margin improved year over year, and the cost ratio increased

The company achieved a gross profit margin of 17.44% in the first three quarters of 24 years, +1.28pct year on year; achieved a net profit margin of 5.23% to mother, +0.66pct year on year. Among them, Q3 achieved gross profit margin of 17.08%, +0.48pct year over month, and -0.20pct month-on-month; achieved net profit margin of 3.90%, +0.14pct year over year, and -1.69pct month-on-month.

The company's cost management level is good. The sales/management/R&D/finance expense ratios for the first three quarters of 24 years were 1.87%/5.16%/4.12%/0.85%, respectively, -0.27/+0.26/+0.56pct, respectively; among them, the Q3 sales/management/R&D/finance expense ratios were 1.89%/5.26%/4.44%/1.34%, respectively, -0.23/+0.41/+0.18/+0.54 pct

The robotics business continues to advance, which is expected to open up new growth space

The company took the lead in forming a working team with the Institute of Physics of the Chinese Academy of Sciences and the Chinese Science and Technology Entrepreneurship Center to set up a special team on technology, marketing, process and comprehensive coordination. In addition, the company communicated with robot joint companies in the market and provided samples. It has now prepared a roadmap and timeline to produce a six-dimensional force sensor sample by the end of the year. It is expected that a small production line with an annual output of 3,000 robot pressure sensors will be formed by the end of the year.

Investment advice

Lingyun Co., Ltd. has new energy vehicle thermoforming and battery case dual engine drives. The company's robotics business is advancing at an accelerated pace, which is expected to open up new growth space. We expect net profit for 24/25/26 to be 0.652/0.77/0.961 billion yuan (original value 0.763/0.896/1.045 billion yuan), respectively, and corresponding PE is 15/12/10 times higher, respectively, maintaining the company's “buy” rating.

Risk warning

Downstream customer sales fell short of expectations; new business expansion fell short of expectations; overseas business profits fell short of expectations.