CTI(300012) 长江证券·2024-10-28 08:11Investment Rating - The investment rating for the company is "Buy" and is maintained [7]. Core Insights - The company reported a steady revenue growth in Q3 2024, with a year-on-year increase of 5.2%, and a total revenue of 16.05 billion yuan for the quarter [2][3]. - The gross profit margin improved by 1.16 percentage points to 53.2% in Q3 2024, indicating effective cost management despite rising operational expenses [4]. - The company is expected to become a Chinese version of SGS, with revenue projections for 2024-2026 at 61.6 billion yuan, 66.6 billion yuan, and 72.0 billion yuan respectively, reflecting a compound annual growth rate of approximately 9.9% [5]. Summary by Sections Revenue Performance - For the first three quarters of 2024, the company achieved a revenue of 43.96 billion yuan, a 7.7% increase year-on-year, with a net profit of 7.47 billion yuan, up 0.8% [2]. - The revenue growth across different business segments showed varied performance, with life sciences and industrial testing segments growing significantly [3]. Profitability Metrics - The company’s comprehensive gross profit margin increased to 53.2%, with a slight rise in R&D expenses indicating a focus on high-tech sectors [4]. - Operating cash flow has shown continuous improvement, with net cash flow of 2.51 billion yuan in Q3 2024 [4]. Future Outlook - The company is actively pursuing an external acquisition strategy to enhance its comprehensive testing capabilities, with several acquisitions already completed or in progress [7]. - Earnings forecasts suggest a gradual recovery in profitability, with net profits projected to reach 9.72 billion yuan in 2024, reflecting a growth rate of 6.8% [5].