Jereh Group(SZ:002353) Xin Lang Cai Jing·2025-04-23 12:39Core Viewpoint - The company reported strong performance in Q1 2025, with significant revenue and profit growth, while also advancing its global expansion strategy and enhancing its market presence in various regions [1][2][3][4] Financial Performance - In Q1 2025, the company achieved revenue of 2.687 billion yuan, a year-on-year increase of 26.07% - The net profit attributable to shareholders was 466 million yuan, up 24.04% year-on-year, while the net profit excluding non-recurring items was 462 million yuan, reflecting a 28.37% increase year-on-year - The gross profit margin was 31.43%, down 4.29 percentage points year-on-year, and the net profit margin was 17.79%, down 0.2 percentage points year-on-year - Operating cash flow improved significantly, reaching 1.067 billion yuan, an increase of 855.8 million yuan year-on-year, attributed to cost control and collection of large project payments [1] Global Expansion Strategy - The company is actively promoting its global development strategy, focusing on collaboration across business segments to enhance market reach and customer base - In 2024, the overseas market sales product structure improved, with a gross margin increase of 6.78% year-on-year, and new orders grew by 65.37% year-on-year - A capital increase of 120 million USD was approved for the Middle East subsidiary to establish a high-end oil and gas equipment manufacturing base in Dubai, which will enhance the company's influence in the global oil and gas market [2][3] Order Acquisition and Market Presence - The company secured significant contracts across various regions, including a major gas project order in Central Asia and multiple projects in the Middle East - Notable contracts include a total contract value of 316 million USD (approximately 2.2 billion yuan) with Bahrain National Oil Company for gas booster station projects, showcasing the company's successful international strategy [3] Stock Buyback and Confidence in Growth - The company's chairman proposed a stock buyback to support employee stock ownership plans, reflecting confidence in the company's growth and value - Major shareholders plan to increase their holdings by 50 to 70 million yuan within six months starting from April 9, 2025 [3] Profit Forecast - The company maintains a positive outlook on its global development and core competitive advantages, adjusting profit forecasts for 2025 to 2027 to 2.94 billion, 3.43 billion, and 4.07 billion yuan respectively, with corresponding P/E ratios of 10.4, 9.0, and 7.5 [4]