New Easy Prosperity (300502) has once again exceeded market expectations with its performance in the third quarter of 2024, achieving revenues of 2.403 billion yuan, a year-on-year increase of 207.1%, and a sequential increase of 54.4% from Q2. The net profit attributable to the parent company reached 781 million yuan, a year-on-year increase of 453.1%, and a sequential increase of 44.5% from Q2, setting a new historical high. This significant growth in performance highlights the company's high-quality operational achievements and strong market demand in the field of high-speed optical modules.
Industry analysis indicates that with the development of AI technology and the upgrade of data centers, the demand for high-speed optical modules continues to grow. New Easy Prosperity, with its leading position in the 400G, 800G, and 1.6T series of high-speed optical modules, and its innovation in VCSEL/EML, silicon photonics, and thin-film lithium niobate solutions, is expected to further increase its share in the global optical module market.
The company's competitive analysis shows that New Easy Prosperity places a high emphasis on R&D investment, continuously launching innovative products, such as 400G and 800G ZR/ZR+ coherent optical module products, and 400G/800G LPO optical module products based on 100G/lane and 200G/lane. The R&D and mass production capabilities of these products provide momentum for the company's performance growth driven by AI.
In terms of financial analysis and forecasts, New Easy Prosperity's gross margin and net profit margin have both achieved significant increases. The reasonable control of financial expenses and the active management of exchange rate impacts have further enhanced the company's profitability. The substantial increase in inventory reflects the company's optimistic attitude towards current and expected orders.
In terms of micro market structure, New Easy Prosperity's stock has performed well in the capital market, attracting attention and support from many institutional investors. The company's capital operation capabilities are also continuously strengthening, providing a strong financial guarantee for its future development.
Valuation comparison analysis points out that New Easy Prosperity's current valuation level is relatively reasonable. Considering the company's leading position in the field of high-speed optical modules and its continuous growth potential, its valuation is expected to be further improved.
The 2024 Q3 report analysis shows that the company's operating income and net profit have achieved year-on-year growth, and the operating cash flow has also improved, demonstrating the company's profitability and financial stability are continuously enhancing.
3、A.Top's Investment Advice:
Combining the financial report data of New Easy Prosperity for the 2024 Q3 and the company's competitive analysis in the high-speed optical module industry, we believe that the company will maintain its growth momentum in the coming period. With the rapid development of AI technology and the upgrade of data centers, the company's layout in the field of 800G/1.6T high-speed optical modules will bring new growth points. At the same time, the company's financial situation is robust, and the cash flow is good, providing a solid foundation for future investment and expansion. Therefore, we advise investors to actively pay attention to New Easy Prosperity and consider timely intervention. Considering the company's leading position in the field of high-speed optical modules and its continuous innovation capabilities, we expect the company to continue to maintain a steady growth momentum in the next few quarters.