Sharetronic(300857) Great Wall Securities·2024-09-02 06:15Investment Rating - The report maintains a "Buy" rating for the company [1][2]. Core Insights - The company has shown significant growth in revenue and profit, with a 94.5% year-on-year increase in revenue for the first half of 2024, reaching 3.578 billion yuan, and a 2.2 times increase in net profit to 358 million yuan [2][6]. - The growth is attributed to the increased sales of high-value products in the health sector, particularly smart cloud IoT integrated machines and coffee machines [2][6]. - The company is expected to benefit from the rising demand for AI terminal storage capacity, with predictions of increased average storage capacity in AI terminals [2][6]. Financial Summary - Revenue (in million yuan): - 2022: 3,148 - 2023: 4,658 - 2024E: 7,872 - 2025E: 10,021 - 2026E: 13,393 - Year-on-year growth rates: - 2023: 47.9% - 2024E: 69.0% - 2025E: 27.3% - 2026E: 33.7% [1][9]. - Net Profit (in million yuan): - 2022: 131 - 2023: 287 - 2024E: 817 - 2025E: 1,028 - 2026E: 1,411 - Year-on-year growth rates: - 2023: 119.5% - 2024E: 184.3% - 2025E: 25.9% - 2026E: 37.3% [1][9]. - Key Ratios: - ROE (%): - 2022: 9.1% - 2023: 11.8% - 2024E: 25.2% - 2025E: 24.3% - 2026E: 25.1% [1][9]. - EPS (latest diluted): - 2022: 0.53 - 2023: 1.17 - 2024E: 3.33 - 2025E: 4.19 - 2026E: 5.75 [1][9]. Business Segments - The first major business segment, data storage devices, generated revenue of 2.317 billion yuan in the first half of 2024, a year-on-year increase of 117.5%, accounting for 65% of total revenue [2][6]. - The second major business segment, IoT smart terminals, generated revenue of 990 million yuan, a year-on-year increase of 95.6%, accounting for 28% of total revenue [2][6]. - The company is focusing on an integrated "cloud-edge-end" system and is a leader in server remanufacturing, indicating a broad growth potential [2][6].