BYD ELECTRONIC(00285.HK):SIGNIFICANT GROWTH IN MULTIPLE AREAS BUSINESS BOUNDARIES TO EXPAND CONTINUOUSLY; "BUY"
BYD ELECTRONIC(00285.HK):SIGNIFICANT GROWTH IN MULTIPLE AREAS BUSINESS BOUNDARIES TO EXPAND CONTINUOUSLY; "BUY"
We maintain the investment rating as "Buy" and set TP to HK$38.70. Considering the improved profitability outlook for BYD Electronic (the "Company") and the prospects for synergies from Jabil plant acquisition, we forecast its 2024-2026 EPS to be RMB2.380/ RMB2.984/ RMB3.459. Considering the valuation level of peer companies, we give 2024 PER of 15.0x, corresponding to TP of HK$38.70, maintaining the investment rating as "Buy". The TP represents 15.0x/ 12.0x/ 10.3 FY24-FY26 PER.
我們將投資評級維持爲 “買入”，目標價設定爲38.70港元。考慮到比亞迪電子（“公司”）盈利前景的改善以及收購捷普工廠帶來的協同效應前景，我們預計其2024-2026年的每股收益爲人民幣2.380元/人民幣2.984元/人民幣3.459元。考慮到同行公司的估值水平，我們給出的2024年市盈率爲15.0倍，相當於目標價爲38.70港元，投資評級維持爲 “買入”。TP 表示 15.0x/ 12.0x/ 10.3 FY24-FY26 PER。
2023 results in-line with expectations, and product expansion will be further promoted. Revenue and shareholders' net profit in 2023 were RMB129,957 million (+21.2% yoy) and RMB4,041 million (+117.6% yoy), respectively, due to further expansion in product categories and market share in supply chain of Apple and BYD. Gross margin increased by 2.1 ppts yoy to 8.0%, thanks to the improvement in operating efficiency and the optimization of business structure by increasing the revenue share of high gross margin products. Due to the business expansion from acquisition of Jabil plants, massive production of more intelligent driving and intelligent suspension products and their rising penetration rate, we expect the Company's revenue to still record remarkable growth in 2024 and afterwards. Moreover, relying on its advantages in materials, manufacturing, heat dissipation and other aspects, the Company enters the AI server market and is expected to put AI servers into mass production in April this year; we believe that the Company's long-term cooperative relationship with NVIDIA and its own strong technology and manufacturing capabilities will provide unique competitive advantages for its AI server business, which will become another drive engine of the Company.
2023年業績符合預期，產品擴張將得到進一步推動。由於蘋果和比亞迪產品類別和供應鏈市場份額的進一步擴大，2023年的收入和股東淨利潤分別爲人民幣1299.57億元（同比增長21.2％）和人民幣40.41億元（同比增長117.6％）。毛利率同比增長2.1個百分點至8.0％，這要歸因於運營效率的提高以及通過增加高毛利率產品的收入份額來優化業務結構。由於收購捷普工廠帶來的業務擴張、更智能的駕駛和智能懸架產品的大規模生產及其滲透率的提高，我們預計該公司的收入在2024年及以後仍將實現顯著增長。此外，依靠其在材料、製造、散熱等方面的優勢，公司進入人工智能服務器市場，預計將於今年4月將人工智能服務器投入量產；我們認爲，該公司與NVIDIA的長期合作關係以及自身強大的技術和製造能力將爲其人工智能服務器業務提供獨特的競爭優勢，這將成爲公司的另一個驅動引擎。
We expect the benefits from the Company's acquisition of the Jabil factories to exceed market expectations. At present, the Company's share in iPad assembly is already very high, and there is not much room for improvement; the future focus of consumer electronics field expansion will be on components, and the most important one currently is the metal middle frame. By acquiring Jabil's factories, the Company will become the world's second largest smartphone structural parts manufacturer. Although the acquisition will incur interest expense, we expect the profit from the business to be significantly higher than the interest expense. At the same time, through synergy and replication of BYD Electronic's automation technology to the Jabil factory, we expect them to improve the production efficiency and profitability of this part of business. Thus, we believe that the long-term effect of this acquisition will be higher than market expectations.
我們預計，該公司收購捷普工廠所帶來的好處將超出市場預期。目前，公司在iPad組裝中的份額已經很高，沒有太大的提升空間；消費電子領域擴張的未來重點將放在組件上，而目前最重要的就是金屬中間框架。通過收購捷普的工廠，該公司將成爲全球第二大智能手機結構件製造商。儘管此次收購將產生利息支出，但我們預計該業務的利潤將大大高於利息支出。同時，通過協同效應和將比亞迪電子的自動化技術複製到捷普工廠，我們預計他們將提高這部分業務的生產效率和盈利能力。因此，我們認爲此次收購的長期影響將高於市場預期。
Catalysts: Efficiency gains at Jabil plants; mass production of more new energy vehicle products.
催化劑：提高捷普工廠的效率；批量生產更多的新能源汽車產品。
Risks: Market competition may be more intense than expected; product line expansion may be slower-than-expected.
風險：市場競爭可能比預期的更激烈；產品線擴張可能比預期的要慢。
譯文內容由第三人軟體翻譯。