TORCH ELECTRON(603678) 天风证券·2025-03-12 10:09Investment Rating - The investment rating for the company is "Buy" with a 6-month outlook maintained [5]. Core Views - The employee stock ownership plan reflects the company's confidence in its development, with performance targets set for 2025, including a revenue goal of at least 4 billion yuan and a net profit of at least 500 million yuan [1]. - The company is expected to benefit from a recovery in orders for self-produced components, with a new round of stocking cycles anticipated due to the military's informationization process [1][2]. - The new materials business, particularly in ceramic materials, is projected to maintain rapid growth, supported by the company's position as a core supplier in the aerospace sector [2]. - The company is actively expanding its production capacity and acquiring stakes in other firms, which signals positive growth potential in its supply chain and high-end product offerings [2]. Financial Data and Forecast - Revenue is forecasted to decline from 3,558.72 million yuan in 2022 to 3,365.37 million yuan in 2024, before rebounding to 3,998.86 million yuan in 2025 and reaching 4,901.83 million yuan in 2026, reflecting a growth rate of 22.58% [4]. - The net profit attributable to the parent company is expected to decrease from 801.45 million yuan in 2022 to 309.14 million yuan in 2024, before increasing to 506.79 million yuan in 2025 and 722.30 million yuan in 2026 [4]. - The company's earnings per share (EPS) is projected to be 0.67 yuan in 2024, increasing to 1.11 yuan in 2025 and 1.58 yuan in 2026 [4]. Market Position and Opportunities - The company is positioned in the defense and military electronics sector, with a significant focus on self-produced components and new materials, which are expected to open new revenue streams [1][2]. - The diverse applications of its products across various sectors, including aerospace, military radar, and electronic countermeasures, are likely to drive growth in the self-produced components business [1].