Hangcha (603298) 广发证券·2024-08-20 01:40Investment Rating - The report assigns a "Buy" rating for Hangcha Group (603298.SH) with a current price of 17.24 CNY and a reasonable value of 24.0 CNY per share [1]. Core Views - The company's profitability continues to improve, with a net profit attributable to shareholders of 1.007 billion CNY in H1 2024, representing a year-on-year increase of 3.74%. The operating revenue increased by 29.29% [1]. - The net profit margin reached 12.53%, up by 1.53 percentage points year-on-year, with a quarterly net profit margin of 15.28%, an increase of 3.01 percentage points [1]. - The company is expanding its international presence, establishing Hangcha Europe Leasing Co., Ltd. in France to enhance global sales and leasing networks, with over 300 overseas dealers covering more than 200 countries [1]. - The demand for lithium battery products is expected to grow, with the company benefiting from its competitive advantages in the electric forklift market [1]. Financial Summary - For 2023, the company reported operating revenue of 16.272 billion CNY, with a growth rate of 12.9%. The EBITDA was 2.040 billion CNY, and the net profit attributable to shareholders was 1.720 billion CNY, reflecting a growth rate of 74.2% [2][3]. - The forecast for 2024 estimates operating revenue to reach 18.557 billion CNY, with a growth rate of 14.0%, and a net profit of 2.095 billion CNY, with a growth rate of 21.8% [2][3]. - The report projects the company's net profit attributable to shareholders to be 2.449 billion CNY in 2025 and 2.883 billion CNY in 2026, indicating a strong growth trajectory [1][2]. Market Position - The company is positioned to benefit from the ongoing trend of lithium battery adoption in forklifts, with a market share increase expected due to the demand for larger and lithium-powered vehicles [1]. - The report highlights that the company has a competitive edge in the internal combustion forklift market, which is anticipated to enhance its performance further [1]. Analyst Team - The report is prepared by a team of analysts from GF Securities, including chief analysts and senior analysts with expertise in mechanical engineering and finance [4].