Dahua (002236): Excellent gross profit margin performance to achieve expected growth

Dahua (002236): Excellent gross profit margin performance to achieve expected growth

Proactively manage the distribution business and ensure the quality of operations.

The company’s G-end remained stable in the third quarter, while the B-end grew steadily, and the downward channel has basically stopped.

On the channel, SMB began to form 30+ plans in the first half of the year, showing a quarter-by-quarter growth trend; the quality of the distribution part was sorted out.

The highest revenue growth was mainly due to the company’s active control of distribution products on channels, ensuring business quality and repayment ability, reducing some high-risk and low-quality businesses, and the overall overseas business was still weaker than domestic.

The gross profit margin remained high, and expenditures in various aspects were still increasing.

Company Q3 gross profit margin 42.

14%, an annual increase of 6.

04 averages.

The product structure is optimized, product series are continuously upgraded, product competitiveness is enhanced, and the company’s profitability is further enhanced.

The expense ratio during a single quarter was 33.

80%, an annual increase of 4.

81 averages.

The average sales, research and development, and financial expense ratio continued to increase, reflecting that the company is still increasing investment in various aspects, channel sinking, 无锡桑拿网 market development, and new product launch at this stage.

Financial expenses increased by 1.

The 60 tiers were mainly due to a decrease in exchange gains.

While maintaining high expenditures, due to the better gross margin performance, profits still achieved growth.

The company’s profits continued to accelerate quarter by quarter.

Net profit attributable to mother in the first three quarters of 18.

7.7 billion, previously at 20.

06%, 10 from previous guidance?
The upper edge of the 25% interval.

The company guides the highest net profit attributable to mothers29.


8.8 billion, a 10-year growth rate of 15?

In Q3, the company sold goods in a single quarter, and received cash for labor services of 59.

40,000 yuan, an increase of 20 in ten years.

42%; Q3 net cash inflow in a single quarter was 3.

300 million in the same period last year.

We expect the security industry to continue to pick up this year. Security AI projects are expected to continue to land, the product structure will be upgraded, and the company’s profitability will be further improved.

We expect the company to realize net profit attributable to mothers in 2019-2021.



8 billion.

Maintain “Buy” rating.

Risk warning: industry demand is lower than expected, overseas markets are lower than expected, and security upgrades are lower than expected.