Ginlong Technologies(SZ:300763) Great Wall Securities·2024-07-03 02:01Investment Rating - The report maintains a rating of "Accumulate" for the company [1] Core Views - The company is expected to see a recovery in its inverter business, with a significant increase in shipments and profitability anticipated in the second quarter of 2024 [2] - The company has a strong position in the inverter market, benefiting from its established brand and distribution channels, which are expected to drive high growth in shipments [6] - The financial forecasts for 2024-2026 indicate a steady increase in revenue and net profit, with projected revenues of 88.86 billion, 112.95 billion, and 134.97 billion yuan, and net profits of 10.07 billion, 13.14 billion, and 16.28 billion yuan respectively [6] Financial Summary - Revenue for 2022 was 5,890 million yuan, with a growth rate of 77.8%. For 2023, revenue is projected at 6,101 million yuan, with a modest growth of 3.6%. The forecast for 2024 is 8,886 million yuan, reflecting a growth rate of 45.7% [1][7] - The net profit attributable to the parent company for 2022 was 1,060 million yuan, with a year-on-year growth of 123.7%. The forecast for 2024 is 1,007 million yuan, indicating a growth of 29.2% [1][8] - The company's return on equity (ROE) is projected to improve from 10.0% in 2023 to 11.6% in 2024, and further to 14.2% by 2026 [1][8] - The earnings per share (EPS) is expected to rise from 1.95 yuan in 2023 to 2.51 yuan in 2024, reaching 4.06 yuan by 2026 [1][8] Market and Industry Insights - The company is positioned well within the solar inverter market, with a significant increase in exports noted since February 2024, particularly in Europe and emerging markets [2] - The global shift towards grid parity in solar energy is expected to drive demand for photovoltaic installations, benefiting the company due to its established market presence and product quality [2] - The report highlights the importance of maintaining a strong brand and distribution network in a competitive industry landscape, which is crucial for capturing market share as demand increases [2]