Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected price increase of over 15% in the next 6-12 months [2][7]. Core Insights - The company reported a revenue of HKD 1.224 billion for the first half of 2024, a decrease of 5.3% year-on-year, and a net profit of HKD 395 million, down 30.4% year-on-year [2]. - The company's power generation increased by 7.4% year-on-year, reaching 2.024 billion kWh, but profitability was impacted by market-oriented trading leading to a decline in settlement electricity prices [2]. - The company completed the acquisition of 200 MW of photovoltaic projects in the first half of 2024, with the proportion of grid-parity projects rising to 55.2%, an increase of 7 percentage points year-on-year [2]. - Financing costs are expected to continue to decline, with the actual interest rate on bank loans decreasing to 4.7%, down 1.4 percentage points from the end of the previous year [2]. - The net profit forecasts for 2024-2026 have been adjusted to HKD 1.064 billion (-14%), HKD 1.241 billion (-13%), and HKD 1.342 billion (-13%) respectively [2]. Summary by Sections Financial Performance - Revenue for 2024 is projected at HKD 2.852 billion, with a growth rate of 13.28% [4]. - Net profit for 2024 is estimated at HKD 1.064 billion, reflecting a growth rate of 7.11% [4]. - The diluted earnings per share for 2024 is expected to be HKD 0.13 [4]. Operational Analysis - The gross profit margin for the first half of 2024 was 64.2%, a decrease of 6 percentage points year-on-year [2]. - The company plans to acquire an additional 700-1000 MW of large-scale grid-parity photovoltaic projects within 2024 [2]. Valuation Metrics - The current stock price corresponds to a 2024 P/E ratio of 6.9 times, a P/B ratio of 0.5 times, and a dividend yield of 6% [2].
信义能源：市场化交易小幅影响电价，融资成本有望持续下降