POWERCHINA Ltd(601669) 光大证券·2024-06-20 00:31Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company has shown a steady growth in new contract signings, with a total of 478.47 billion yuan in new contracts signed from January to May 2024, representing a year-on-year increase of 6.8% [5] - The energy and water resources sectors are driving growth, with significant increases in new contracts for energy power [5][6] - The company is well-positioned to benefit from the ongoing high investment in water conservancy projects, with a market share exceeding 65% in domestic hydropower construction [5] - The acceleration of new energy projects and pumped storage projects is expected to enhance the company's profitability, with a planned investment increase of 70.8% in 2024 for new energy projects [6] Summary by Sections Market Data - The company's stock price is currently at 5.54 yuan, with a total market capitalization of 954.33 billion yuan [1][3] Financial Performance - The company reported a total revenue of 571.65 billion yuan in 2022, with projected revenues of 661.10 billion yuan in 2024, reflecting a growth rate of 8.65% [7] - The net profit attributable to the parent company is expected to reach 14.64 billion yuan in 2024, with a growth rate of 12.72% [7] Contract and Order Growth - New contracts in the energy sector increased significantly, with energy power contracts amounting to 2,884.3 billion yuan from January to May 2024, a year-on-year increase of 28.1% [5] - The company secured 1,007.3 billion yuan in new water conservancy contracts in 2023, marking a substantial increase of 70.4% [5] Investment and Future Outlook - The company plans to add 30 GW of wind and solar power capacity during the "14th Five-Year Plan" period, with a total investment exceeding 160 billion yuan in pumped storage projects [6] - The projected net profit for 2024-2026 is 14.64 billion yuan, 16.46 billion yuan, and 18.33 billion yuan respectively, indicating a positive growth trajectory [7]