JEMC(SZ:000922) Minsheng Securities·2024-08-16 03:00Investment Rating - The report maintains a "Recommended" rating for the company [3][5]. Core Views - The company's revenue for the first half of 2024 was 2.481 billion yuan, a year-on-year decrease of 6.43%, with a net profit attributable to shareholders of 175 million yuan, down 19.57% year-on-year [3]. - The nuclear power business is experiencing stable high growth, with nuclear product revenue reaching 554 million yuan, a significant increase of 132.53% year-on-year [3]. - The company plans to invest 734 million yuan in 2024, with a focus on the main helium fan project for the fourth-generation nuclear reactor, which is expected to ramp up production [3]. - The company has announced a private placement plan to raise up to 1.112 billion yuan, aimed at repaying loans and optimizing its capital structure [3]. Financial Performance Summary - For the second quarter of 2024, the company achieved a revenue of 1.328 billion yuan, a year-on-year increase of 20.52%, but the net profit decreased by 18.91% to 82 million yuan [3]. - The gross profit margin for the first half of 2024 was 22.94%, slightly up by 0.2 percentage points year-on-year, while the net profit margin was 8.41%, down by 1.08 percentage points [3]. - The company forecasts revenues of 5.195 billion yuan, 5.764 billion yuan, and 6.771 billion yuan for 2024, 2025, and 2026 respectively, with growth rates of -2.4%, 10.9%, and 17.5% [4][6]. Investment Projections - The projected net profit attributable to shareholders for 2024, 2025, and 2026 is 414 million yuan, 469 million yuan, and 545 million yuan respectively, with growth rates of 3.5%, 13.4%, and 16.3% [4][6]. - The price-to-earnings ratio (PE) is expected to be 18X for 2024, 16X for 2025, and 13X for 2026 [4][6].