Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected stock price increase of more than 15% compared to the benchmark index [2][9]. Core Views - The company is expected to benefit significantly from the accelerating domestic data center construction, driven by increasing demand for hardware facilities in the context of the digital intelligence wave [2]. - The company's revenue for the first three quarters of 2024 reached 8.377 billion yuan, a year-on-year increase of 5.36%, with a net profit of 412 million yuan, up 47.73% year-on-year [1]. - The demand for data center products is growing rapidly, with the revenue from data center switches alone reaching 2.992 billion yuan, a year-on-year increase of 47% [1]. Summary by Sections Financial Performance - In Q3 2024, the company achieved revenue of 3.333 billion yuan, a year-on-year increase of 6.84% and a quarter-on-quarter increase of 15.07% [1]. - The gross profit margin improved by 0.69 percentage points quarter-on-quarter, reaching 34.78% in Q3 2024 [1]. - The company’s operating expenses decreased by 5 percentage points year-on-year for the first three quarters of 2024 [1]. Market Position - The company has secured significant contracts for hardware and software projects in data center construction with major Tier 1 internet companies such as ByteDance, Alibaba, and Tencent [1]. - According to IDC data, the company ranks third in the Chinese Ethernet switch market and the data center switch market, and first in the education sector for campus switches [1]. Profit Forecast - The projected net profits for the company from 2024 to 2026 are 542 million yuan, 725 million yuan, and 873 million yuan, respectively, with corresponding PE ratios of 53x, 39x, and 33x [2].
锐捷网络：2024年三季报点评：数据中心收入高增，受益国产算力机遇