JZ GROUP(SZ:300040) Zheng Quan Shi Bao Wang·2025-06-16 15:49Core Viewpoint - Jiuzhou Group is focusing on the smart distribution network and network energy sectors, positioning itself as a leading provider of new power and energy infrastructure, with a dual-engine business model combining renewable energy and smart equipment manufacturing [1][2]. Group 1: Business Overview - Jiuzhou Group has over 30 years of experience in the smart distribution network equipment industry, with core products including DC power supplies, ring network cabinets, and switchgear, primarily under its own brand [1][2]. - The company has a business structure that includes smart equipment manufacturing, renewable energy generation, and comprehensive smart energy, with a focus on both grid and non-grid customers [1]. Group 2: Strategic Focus and Growth Plans - The management aims to enhance the performance of the smart equipment manufacturing segment by increasing capacity utilization, improving gross margins through economies of scale, and investing in R&D and market expansion [2]. - A new large customer sales team is being established in Beijing by the end of 2023, with plans to build an overseas sales team by Q3 2024 [2]. - Jiuzhou Group has set a target for its smart distribution network business to achieve over 800 million yuan in orders for 2024, representing a year-on-year growth of over 30% [2]. Group 3: Renewable Energy Projects - The company currently has over 1 GW of capacity under construction and approximately 2 GW to 3 GW in the development stage, which is expected to support growth in its renewable energy generation segment over the next 3 to 5 years [3]. - Jiuzhou Group plans to maintain its equity capacity between 1.5 GW and 2 GW, focusing on long-term holdings while gradually selling off older projects [3]. Group 4: Biomass Power Generation Challenges - The biomass power generation sector is facing temporary issues such as fuel shortages, price fluctuations, and cash flow shortages, leading to a fixed asset impairment loss of 422 million yuan and an investment income loss of 68 million yuan [4][5]. - The company will not pursue new biomass power generation projects and will instead focus on optimizing existing projects by improving raw material supply systems and developing high-value-added products [5].