WBTL(603596) Tianfeng Securities·2024-08-31 04:30Investment Rating - The report maintains a "Buy" rating for the company, with an expected relative return of over 20% within the next six months [5][14]. Core Views - The company achieved significant year-on-year growth in H1 2024, with revenue reaching 3.971 billion yuan, up 28.32%, and net profit attributable to shareholders at 457 million yuan, up 28.65% [1]. - The company continues to enhance its research and development efforts, successfully launching new products such as WCBS1.5 and WCBS2.0, and is set to mass-produce electric tailgates [2]. - The company is accelerating capacity expansion and global operations, with new production lines and facilities being established to meet the growing demand for lightweight automotive components [3]. Financial Performance - In H1 2024, the company reported a gross margin of 21.11%, a slight decrease of 1.03 percentage points year-on-year, while the net margin was 11.60%, down 0.14 percentage points [1]. - The company’s revenue for Q2 2024 was 2.111 billion yuan, reflecting a year-on-year increase of 32.35% and a quarter-on-quarter increase of 13.49% [1]. - The projected net profit for 2024-2026 is estimated at 1.218 billion yuan, 1.459 billion yuan, and 1.913 billion yuan, respectively, with corresponding P/E ratios of 19, 15, and 12 times [4][5]. Product Performance - Sales of intelligent electronic control products reached 1,997,738 units in H1 2024, a year-on-year increase of 32.04% [1]. - The lightweight brake components saw a significant sales increase of 61.17%, totaling 6,129,602 units sold [1]. Capacity Expansion - The company is expanding its production capacity to meet the demand for lightweight automotive components, with new production lines for EPS and EPS-ECU being added [3]. - A convertible bond issuance of up to 2.832 billion yuan is planned to fund the production of various automotive components, including EMB and EPB systems [3].