Xingyu Co.,Ltd(601799) 西南证券·2024-10-28 08:30Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company's Q3 performance met expectations, with a revenue of 9.225 billion yuan for the first three quarters of 2024, representing a year-on-year increase of 27.5% [1] - The net profit attributable to the parent company for the same period was 977 million yuan, up 25% year-on-year, with a gross margin of 20% and a net margin of 10.6% [1] - The company is actively implementing cost control measures, leading to a continuous improvement in expense ratios [2] - The average selling price (ASP) of the company's products has increased by 25.4% year-on-year, indicating a successful transition to higher-value products [2] - The company is expanding its customer base and accelerating its global layout, with significant growth in clients from the new energy sector [3] Financial Performance Summary - For Q3 2024, the company achieved a revenue of 3.509 billion yuan, a year-on-year increase of 24.8% and a quarter-on-quarter increase of 6.2% [1] - The net profit for Q3 was 383 million yuan, reflecting a year-on-year growth of 21.6% and a quarter-on-quarter increase of 9% [1] - The expense ratio for Q1-Q3 2024 was 8.72%, down 0.8 percentage points year-on-year, with Q3's expense ratio at 8.12%, down 1.17 percentage points year-on-year [2] - The company expects a compound annual growth rate (CAGR) of 24.3% for net profit attributable to the parent company from 2024 to 2026 [3] Customer and Market Expansion - The company is enhancing its customer structure, with rapid growth from clients such as Chery, Seres, Li Auto, and NIO, which is expected to bolster revenue sources [2][3] - The company is establishing a global presence, with production capacity in Serbia and new entities in Mexico and the United States to support overseas market expansion [3]