Investment Rating - The report maintains a "Buy" rating for the company, suggesting investors pay attention to its long-term potential [2][3]. Core Views - The company's profit in H1 2024 grew year-on-year, driven by an increase in photovoltaic glass sales, despite a weak supply-demand relationship in the industry [2]. - The report forecasts the company's net profit for 2024-2026 to be HKD 36.8 billion, HKD 44.4 billion, and HKD 52.8 billion, respectively, with corresponding PE ratios of 8.4x, 7.0x, and 5.9x [2]. - The company declared an interim dividend of HKD 0.10 per share, up from HKD 0.075 per share in the previous year, with a payout ratio of 45.4% [2]. Financial Performance Summary - For H1 2024, the company reported revenue, gross profit, and net profit of HKD 126.9 billion, HKD 34.1 billion, and HKD 19.6 billion, respectively, representing year-on-year growth of 4.5%, 27.5%, and 41.0% [2]. - The gross margin for photovoltaic glass improved by 6.3 percentage points to 21.5% due to lower procurement costs and operational efficiency [2]. - The company's total nominal melting capacity reached 29,000 tons/day by the end of H1 2024, with plans to increase it to 32,200 tons/day by the end of 2024 [2][3]. Industry Context - The photovoltaic glass industry is currently facing pressure, with supply exceeding demand, leading to a decline in prices [2]. - The company is expected to benefit from its cost advantages and market share growth in the long term, despite short-term industry challenges [2]. - The report highlights that the company's overseas production capacity is expected to increase from 7% to 13% by the end of 2024, enhancing its competitive position [2].
信义光能：中报符合预期，下半年短期承压但长期优势持续