Farasis Energy(688567) 民生证券·2024-04-30 07:30Investment Rating - The report maintains a "Recommended" rating for the company with a target price of 12.69 CNY [1]. Core Views - The company reported a revenue of 16.436 billion CNY for 2023, a year-on-year decrease of 101.49%, and a net profit attributable to shareholders of -1.868 billion CNY, reflecting a significant decline [1]. - The company experienced a rapid expansion in overseas business, with overseas revenue accounting for over half of total revenue, growing by 124.70% year-on-year [1]. - The company is focusing on R&D investments to maintain its technological leadership, with significant advancements in battery technology and production capacity [1]. Summary by Sections Financial Performance - In Q1 2024, the company achieved a revenue of 2.924 billion CNY, a year-on-year increase of 38.20% and a quarter-on-quarter increase of 28.66% [1]. - The gross profit margin for Q1 2024 was reported at 11.89%, an increase of 9.98 percentage points year-on-year [1]. - The company’s total revenue for 2024 is projected to be 17.208 billion CNY, with a growth rate of 4.7% [2]. Revenue and Profitability - The company’s global power battery shipments exceeded 16 GWh in 2023, driven by growth in the domestic new energy vehicle market and product exports [1]. - The net profit margin for Q1 2024 was -7.43%, indicating ongoing profitability challenges [1]. - The company is expected to achieve a net profit of 142 million CNY in 2024, with a growth rate of 107.58% [2]. R&D and Technological Advancements - The company has completed the technical reserve for its SPS power battery development and is advancing the production of high-performance LMFP batteries [1]. - The second-generation sodium-ion battery is currently under development, showcasing the company's commitment to innovation [1]. Market Expansion - The company has deepened strategic cooperation with major overseas clients, including Mercedes-Benz, and has established a joint venture in Turkey to support production capacity in Europe, the Middle East, and Africa [1]. - The overseas revenue growth reflects the company's successful penetration into international markets, with a focus on expanding production capabilities [1].