LIUGONG(000528) 财信证券·2024-11-05 07:12Investment Rating - The report assigns a "Buy" rating to the company, indicating an expected return that exceeds the CSI 300 Index by more than 15% [13]. Core Insights - The company has shown continuous revenue growth and significant profit increases in the first three quarters of 2024, with revenue reaching 22.86 billion yuan (up 8.3% year-on-year) and net profit attributable to shareholders at 1.32 billion yuan (up 59.8% year-on-year) [6][9]. - The "Three Full" strategy has led to a notable improvement in profit margins, with gross and net profit margins at 23.5% and 9.2% respectively for the first three quarters of 2024 [7]. - The company has successfully optimized its customer and product structures, leading to increased sales in high-margin products and a significant rise in overseas revenue [7][8]. Financial Performance Summary - For the first three quarters of 2024, the company reported total revenue of 22.86 billion yuan, a year-on-year increase of 8.3%, and a net profit of 1.32 billion yuan, reflecting a year-on-year growth of 59.8% [6][9]. - The gross profit margin improved by 2.8 percentage points year-on-year to 23.5%, while the net profit margin increased by 0.6 percentage points to 9.2% [7]. - The company’s earnings per share (EPS) for 2024 is projected to be 0.83 yuan, with a price-to-earnings (P/E) ratio of 14.52 [5][9]. Strategic Developments - The company has made significant advancements in electric product technology, reducing operational costs by 60%-70% and increasing efficiency by 20% [8]. - The internationalization and lithium battery business are expected to continue driving growth, with net profits projected to reach 1.64 billion yuan in 2024, an increase of 88.9% year-on-year [9].