TRANSSION(688036) 华安证券·2025-02-27 02:23Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported a revenue of 68.74 billion yuan for 2024, representing a year-on-year growth of 10.35%. The net profit attributable to the parent company was 5.59 billion yuan, a slight increase of 0.96% year-on-year. However, the net profit excluding non-recurring items decreased by 10.2% to 4.61 billion yuan [4][5] - In Q4 2024, the company achieved a revenue of 17.49 billion yuan, which is a 9.2% decline year-on-year but a 4.8% increase quarter-on-quarter. The net profit for the quarter was 1.69 billion yuan, up 2.0% year-on-year and 60.4% quarter-on-quarter [5] - The company is experiencing growth in emerging markets, with a smartphone shipment of approximately 107 million units in 2024, a year-on-year increase of 12.7%, and a market share of 8.6%, up 0.4 percentage points [6] - The company has resolved patent issues with Qualcomm, which is expected to facilitate smoother market expansion [7] - The company is optimistic about AI applications driving market growth, as the smartphone market transitions to a replacement cycle influenced by new AI capabilities [8] Financial Summary - For 2024, the company expects revenues of 68.74 billion yuan, with a year-on-year growth of 10.4% projected for 2025 and 8.6% for 2026. The net profit attributable to the parent company is forecasted to be 6.38 billion yuan in 2025 and 7.40 billion yuan in 2026, reflecting growth rates of 14.1% and 16.0% respectively [9][11] - The gross margin is expected to be 22.3% in 2024, slightly decreasing to 22.6% by 2026. The return on equity (ROE) is projected to decline from 24.8% in 2024 to 20.4% in 2026 [11]