Founder Securities released research reports stating that it maintains a "recommended" rating for Fe Horizon (03360), with expected net income attributable to owners of the company in 2024-2026 of 4.94, 5.34, and 5.71 billion yuan respectively, year-on-year -20.2%, +8.0%, +7.0%. It is believed that as a leading company in financial leasing, Fe Horizon can sustainably feed back shareholders with high dividends. It is reported that Fe Horizon disclosed the operating summary for the third quarter of 2024, with a slight year-on-year decrease in operating income for 9M24, and a profit decline consistent with the mid-term (1H24 year-on-year -32%).

The main points of Zheng Securities are as follows:

Financial business steadily progresses, with a slight reduction in interest-earning asset size and a stable net interest margin compared to the beginning of the year.

Fe Horizon maintained a steady operational strategy and stable financial operations in 9M24; in terms of scale, the company continued its prudent and steady business strategy since 2024, ensuring the orderly distribution of interest-earning assets, with a slightly decreased balance of interest-earning assets by the end of the 3rd quarter compared to the beginning of the year; in terms of net interest margin, the company's net interest margin remained stable during the reporting period compared to the beginning of the year (3.98% in 23 years), considering that the company's net interest margin was 3.95% at the end of 1H24, the main reason for the high net interest margin of the company is expected to be the decrease in financing costs on the financing end and maintaining high-yield pricing on the asset end. In terms of asset quality, the company's asset quality remained stable during the reporting period, with a stable balance of non-performing assets and a prudent provision coverage ratio.

Horizon CD: The trend of steady expansion continues, with the steady growth of high-altitude operation platform equipment scale and accelerated overseas market layout.

During the reporting period, Horizon CD continued to optimize the equipment product structure, increase coverage of various new operational scenarios, and expand the fleet size through leaseback model, continuously consolidating its leading position in the domestic market, achieving year-on-year growth in revenue in 9M24; by the end of the period, the company's global business network reached 563 locations, an increase of 69 from the beginning of the year, and the scale of high-altitude operation platforms reached 0.215 million units, an increase of 0.037 million units from the beginning of the year. In terms of overseas layout, Horizon CD has established 44 overseas locations in 7 countries in Southeast Asia, the Middle East, and other regions. The original overseas asset scale exceeds 2.7 billion yuan, and the overseas equipment utilization rate has effectively increased. Horizon CD's overseas business income has rapidly increased during the reporting period, achieving monthly profitability from August 24 onwards.

Horizon CD Health: Adhering to the established global strategy for advancement, seeing a stable increase in profit margins.

In 2024, facing the tightening of medical insurance supervision and decreased willingness to pay, Horizon Health actively promotes the upgrade of its global strategy. On one hand, it increases the number of medical visits to offset the pressure of medical insurance cost control, on the other hand, it expands new businesses such as consumer medical and health services, and continues to focus on improving operational quality, promoting cost reduction and efficiency enhancement, resulting in a stable and rising profit margin during the reporting period.