QINCHUAN(000837) 开源证券·2024-04-02 16:00Investment Rating - The investment rating for the company is "Outperform" (Maintain) [3][13] Core Views - The company experienced significant revenue decline in 2023, with operating income of 3.76 billion yuan, down 8.29% year-on-year, and a net profit attributable to shareholders of 52 million yuan, down 81% year-on-year. This volatility is attributed to factors such as the bankruptcy liquidation of a subsidiary and increased depreciation from fixed asset investments [13][14] - Despite the short-term challenges, the company is expected to benefit from the domestic substitution of high-end CNC machine tools and the growing demand in the robotics industry. The company has a strong technological foundation and has seen a 77% increase in main engine exports in 2023 [5][13] - The company plans to raise up to 1.23 billion yuan for projects aimed at upgrading its product offerings, including a high-end industrial mother machine innovation base and rolling functional components for the new energy vehicle sector [5][13] Financial Summary - The company's financial performance shows a projected net profit of 131 million yuan in 2024, 178 million yuan in 2025, and 243 million yuan in 2026, reflecting a recovery from the low profit levels in 2023 [13][30] - The gross margin for 2023 was 17.8%, a decrease of 1.12 percentage points year-on-year, while the net profit margin was 1.8%, down 6.17 percentage points year-on-year [14][30] - The company’s earnings per share (EPS) are projected to improve from 0.05 yuan in 2023 to 0.24 yuan in 2026, indicating a positive trend in profitability [30]