October 20, 2024 03:15 PM GMT M Update Shenzhen Inovance Technology | Asia Pacific 3Q24 Prelims – Revenue In-line; Core Earnings Miss Reaction to earnings Weakens our investment thesis Modest shortfall Modest revision lower Impact to our investment thesis Financial results versus consensus Impact to next 12-month consensus EPS Key Takeaways 3Q revenue was up 15%-25% y-y, midpoint of Rmb9.2bn (+20% y-y) was in-line with MSe and consensus, as NEV powertrain business was the key growth driver... Automation and ...

本公司及董事会全体成员保证信息披露的内容真实、准确、完整，没 有虚假记载、误导性陈述或重大遗漏。 深圳市汇川技术股份有限公司（以下简称"公司"）拟于2024年10月29日披露《2024 年第三季度报告》。为使投资者能够进一步了解公司经营成果、财务状况，公司拟召开 业绩说明会，现将具体情况公告如下： 一、业绩说明会安排 证券代码：300124 证券简称：汇川技术 公告编号：2024-091 深圳市汇川技术股份有限公司 关于召开 2024 年第三季度业绩说明会的公告 2.英文会议 英文会议报名参会入口 （一）召开时间：2024年10月29日（星期二）15:00-17:00。 （二）出席人员：董事、副总裁、董事会秘书宋君恩先生。 （三）交流内容：公司将针对2024年前三季度经营成果、财务指标等与投资者进行 交流，并对投资者普遍关注的问题进行回答。 （四）召开方式：线上会议，本次会议主要以中文方式进行，配有英文同声传译， 投资者可通过语音和文字方式在线参与本次业绩说明会。 （五）报名及参会方式： 1.中文会议 （1）网络端报名参会： https://s.comein.cn/AK3Yu （2）手机端报名参会：登陆进门财 ...

Investment Rating - The report maintains a "Buy" rating for the company [4][8]. Core Insights - The company is expected to achieve revenue of 88.2-95.9 billion yuan in Q3 2024, representing a year-on-year growth of 15% to 25%. The net profit attributable to the parent company is projected to be between 11.8-13.0 billion yuan, showing a year-on-year change of -5% to +5% [3][4]. - The growth in the new energy vehicle sector is driving revenue growth, while the company is also focusing on strategic areas such as product diversification, international expansion, digitalization, and energy management to sustain high growth in the long term [3][4][5]. Summary by Sections Financial Performance - For Q3 2024, the company forecasts revenue of approximately 92.0 billion yuan, a 20% increase year-on-year, with net profit expected to remain stable at 12.4 billion yuan, and a decrease in non-recurring net profit to 10.7 billion yuan, down 9.5% year-on-year [3][4]. - The company anticipates total revenue for the first three quarters of 2024 to be between 241.45-261.58 billion yuan, reflecting a year-on-year growth of 20% to 30% [3]. Market Position - The company has established a strong market presence in the industrial control sector, with significant market shares in low-voltage frequency converters (21.4%), AC servos (30.3%), and small PLCs (15.1%) [5]. - In the new energy vehicle market, the company holds a 11% market share in domestic electric passenger vehicle control systems, ranking second overall [5]. Strategic Outlook - The company is expected to benefit from improving manufacturing conditions and supportive government policies aimed at enhancing economic recovery [4][5]. - Continued investment in strategic business areas is anticipated to yield positive results, with a focus on internationalization and energy management [5].

Investment Rating - The report assigns a Neutral rating to Shenzhen Inovance Technology, indicating a cautious outlook on the company's performance due to potential risks associated with revenue guidance cuts [3][7]. Core Insights - The report expresses concerns about the company's ability to meet its 2024 revenue growth guidance of 20% year-over-year, particularly in the general automation sector, due to a high base effect from previous quarters and weaker demand from new energy sectors [7]. - The target price for Shenzhen Inovance Technology is set at Rmb55.0, reflecting a valuation based on approximately 30 times the estimated earnings per share (EPS) for FY24E [3][7]. Financial Summary - The earnings summary indicates a net profit of Rmb4,320 million for 2022, projected to increase to Rmb4,911 million in 2024, with a diluted EPS growth from Rmb1.640 in 2022 to Rmb1.847 in 2024 [4]. - The expected total return for the stock is projected at -5.8%, with an expected share price return of -6.6% and a dividend yield of 0.8% [3][4]. Market Capitalization - The market capitalization of Shenzhen Inovance Technology is reported at Rmb157,769 million, equivalent to approximately US$22,260 million [3].

Investment Rating - Buy (Maintained) [1] Core Views - Industrial control business is entering the bottom range, while new energy vehicles continue to exceed expectations [1] - 24Q1-3 revenue is expected to increase by 20%-30% YoY, with net profit attributable to the parent company ranging from -4% to +6% YoY, slightly below market expectations [3] - General automation demand is under pressure but still outperforms the industry, with Q3 revenue expected to decline for the first time since 2022, but recovery to +10% growth is anticipated in Q4 [3] - New energy vehicle business is expected to grow by over 90% YoY in 24Q1-3, with Q3 revenue up by over 70% YoY, maintaining a net profit margin of 5-6% [3] - Elevator business is expected to decline by around 5% YoY in 24Q1-3, with Q3 revenue expected to drop by 10%-5% YoY, but policy support may stabilize the market [4] Financial Forecasts and Valuation - Revenue for 2024E is projected at 37,561 million yuan, a 23.47% YoY increase, with net profit attributable to the parent company at 5,028 million yuan, up 6.04% YoY [2] - EPS for 2024E is forecasted at 1.88 yuan per share, with a P/E ratio of 31.16x [2] - Revenue for 2025E is projected at 46,066 million yuan, a 22.64% YoY increase, with net profit attributable to the parent company at 6,012 million yuan, up 19.56% YoY [2] - EPS for 2025E is forecasted at 2.24 yuan per share, with a P/E ratio of 26.06x [2] - Revenue for 2026E is projected at 54,585 million yuan, an 18.49% YoY increase, with net profit attributable to the parent company at 7,177 million yuan, up 19.39% YoY [2] - EPS for 2026E is forecasted at 2.68 yuan per share, with a P/E ratio of 21.83x [2] Market Data - Closing price: 58.50 yuan [5] - 52-week low/high: 39.17/74.94 yuan [5] - P/B ratio: 6.15x [5] - Market capitalization: 156,671.31 million yuan [5] Financial Highlights - Total assets for 2024E are projected at 55,015 million yuan, with total liabilities at 26,022 million yuan [8] - Net profit attributable to the parent company for 2024E is projected at 5,028 million yuan, with a net profit margin of 13.39% [8] - ROE for 2024E is forecasted at 17.68%, with a ROIC of 12.83% [9] - Operating cash flow for 2024E is projected at 2,954 million yuan, with capital expenditures at 1,617 million yuan [9] Industry and Business Segments - General automation: Q3 revenue is expected to decline by 5%-0% YoY, but recovery to +10% growth is anticipated in Q4 [3] - New energy vehicles: Q3 revenue is expected to grow by over 70% YoY, with a net profit margin of 5-6% [3] - Elevator: Q3 revenue is expected to decline by 10%-5% YoY, but policy support may stabilize the market [4]

Revenue Projections - The company expects revenue for the first three quarters of 2024 to be between 2,414,544.49 and 2,615,756.53 million CNY, representing a year-on-year growth of 20% to 30% compared to 2,012,120.41 million CNY in the same period last year[3]. - In Q3 2024, revenue is anticipated to be between 882,086.32 and 958,789.48 million CNY, showing a year-on-year increase of 15% to 25% from 767,031.58 million CNY[3]. Profit Projections - The net profit attributable to shareholders is projected to be between 318,659.29 and 351,852.97 million CNY, reflecting a year-on-year change of -4% to 6% from 331,936.76 million CNY[3]. - The net profit after deducting non-recurring gains and losses is expected to be between 304,617.98 and 319,848.88 million CNY, with a year-on-year growth of 0% to 5% compared to 304,617.98 million CNY last year[3]. - The net profit attributable to shareholders for Q3 is projected to be between 118,032.20 and 130,456.64 million CNY, with a year-on-year change of -5% to 5% from 124,244.42 million CNY[3]. Financial Performance Factors - The company reported a decline in overall gross margin due to changes in product revenue structure and intensified market competition[4]. - The company experienced a decrease in fair value changes and investment income, primarily due to a decline in the fair value of equity investments[4]. - The company reported an increase in asset disposal income due to gains from the relocation of subsidiaries[5]. - The company anticipates an increase in income tax expenses due to the expiration of tax incentives for certain subsidiaries in the previous year[5]. Investment and Expense Management - The company is increasing investments in internationalization, energy management, and digitalization while controlling overall expenses, with R&D, sales, and management expenses growing slower than revenue[4].

8 October 2024 | 6:08PM CST revenue recognition will likely accelerate per mgmt as ocean freight congestion eases) and we forecast +28% yoy revenue into 2H24E. Shenzhen Inovance Technology Co. (300124.SZ): Sept IA orders slightly down yoy/up mom | --- | --- | |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---- ...

Group 1: Investor Relations Activities - The company conducted multiple investor relations activities from September 18 to September 30, 2024, including phone conferences and on-site research [1][2][3][5][6][7]. - A total of 12 participants from Fidelity attended a phone conference on September 30 [5]. - On September 24, 12 participants from various investment firms attended a roadshow meeting [2]. Group 2: Customization and Efficiency Strategies - The company emphasizes customized solutions in the industrial automation sector, aiming to enhance customer stickiness and reduce overall costs [5][6]. - Since 2019, the company has been implementing management reforms to improve operational efficiency while maintaining customization strategies [5][6]. - The company plans to optimize its Integrated Product Development (IPD) process to balance customization advantages with efficiency [6]. Group 3: Robotics and New Energy Vehicle Business - The company's industrial robot business saw significant growth, with six-axis robots accounting for approximately 30% of total sales in the first half of the year [6][7]. - The new energy vehicle business is supported by a diverse customer base, including new energy vehicle manufacturers and traditional automakers transitioning to electric vehicles [6][7]. Group 4: Elevator Market Insights - The elevator market in China is projected to see increased demand for replacements and upgrades, driven by government policies and technological advancements [7]. - The company is exploring business models and market opportunities in the elevator after-service market, anticipating it will become a key growth driver [7].

证券代码：300124 证券简称：汇川技术 公告编号：2024-089 深圳市汇川技术股份有限公司 关于第二期长效激励持股计划第一个锁定期届满 的提示性公告 本公司及董事会全体成员保证信息披露的内容真实、准确、完整， 没有虚假记载、误导性陈述或重大遗漏。 深圳市汇川技术股份有限公司（以下简称"公司"）长效激励持股计划是公 司的中长期激励方案，即对 2021 年至 2023 年每个会计年度设置业绩目标值，依 据业绩达成情况滚动设立三期各自独立存续的持股计划。2023 年 4 月 21 日，公 司根据 2022 年度业绩完成情况提取了第二期长效激励持股计划业绩激励基金 4,549 万元。2023 年 9 月 12 日，公司召开第五届董事会第二十五次会议、第五 届监事会第十九次会议，审议通过了《关于实施第二期长效激励持股计划的议案》， 第二期长效激励持股计划进入实施阶段。以上内容详见公司于 2023 年 4 月 25 日、2023 年 9 月 12 日刊登在巨潮资讯网上的公告（公告编号：2023-023、2023- 073）。 根据《关于上市公司实施员工持股计划试点的指导意见》《深圳证券交易所 上市公司自律监管指引 ...

广州市天河区珠江东路 32 号利通广场 29 楼 2901 室 邮编/Zip Code:510623 电话/Tel:86-020-37392666 传真/Fax:86-020-37392826 电子邮箱/E-mail：kdgzlaw@163.com 北京 天津 上海 深圳 广州 西安 沈阳 南京 杭州 海口 菏泽 成都 苏州 呼和 长沙 厦门 郑州 香港 武汉 法律意见书 北京市康达（广州）律师事务所 关于深圳市汇川技术股份有限公司 第七期股权激励计划调整及首次授予相关事项的 法 律 意 见 书 康达法意字【2024】第 4396 号 二〇二四年九月 1 法律意见书 北京市康达（广州）律师事务所 关于深圳市汇川技术股份有限公司 2. 本所及经办律师已根据法律法规的规定严格履行了法定职责，遵循勤勉尽责和 诚实信用原则，进行了充分的核查验证，保证本法律意见书所认定的事实真实、准确、 完整，所发表的结论性意见合法、准确，不存在虚假记载、误导性陈述及重大遗漏，并 承担相应的法律责任。 3. 本所及经办律师仅就公司本次激励计划的相关法律事项发表意见，并不对会计、 审计等专业事项发表意见，本所及经办律师不具备对该等专业事 ...