Investment Rating - The report maintains a "Buy" rating for the company with a target price of 27.18 [9][8]. Core Views - The company's revenue growth is in line with expectations, while profit growth is slightly below expectations due to fluctuations in gross margin. The overall business volume has steadily recovered [9][8]. - The ETC2.0 business is identified as a potential growth driver for the future, with the company achieving a market share exceeding 10% in the ETC issuance sector [9][8]. - The report highlights that the company has a strong performance foundation with stable cash flow contributions from toll collection, which is expected to continue [9][8]. Financial Summary - The company reported total revenue of 742 million in 2023, a year-on-year increase of 24.19% [9]. - The net profit attributable to shareholders for 2023 was 191 million, reflecting a growth of 26.54% [9]. - The EBIT for 2023 was 131 million, with a growth rate of 51.8% compared to the previous year [9]. Profitability Metrics - The report indicates a gross profit margin of 47.0% for 2023, with an EBIT margin of 17.7% [9]. - The return on equity (ROE) is projected to increase from 7.3% in 2023 to 11.9% by 2026 [9]. - The report also notes a decrease in the capital expenditure to revenue ratio from 7.3% in 2022 to 12.1% in 2023, indicating a shift in investment strategy [9]. Market Position - The company is recognized as a leading provider of intelligent transportation solutions in China, with a significant market share in the toll collection sector [9][8]. - The report emphasizes the company's established technology system and core competencies developed through years of R&D investment [9][8].
2023年年报点评：业务量如期恢复，关注ETC2.0