COOEC(SH:600583) Southwest Securities·2024-08-19 04:09Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for the next six months [1]. Core Insights - The company reported a revenue of 13.43 billion yuan for H1 2024, a decrease of 7.0% year-on-year, while the net profit attributable to shareholders increased by 21.7% to 1.20 billion yuan [2]. - The company has a strong order backlog of 38.8 billion yuan, providing solid support for future business development [2]. - The marine engineering segment showed robust growth, with total revenue from marine engineering projects increasing by 15.1% year-on-year [2]. - The company is expected to benefit from the ongoing high demand in the marine oil and gas sector, with significant capital expenditure planned by major players in the industry [3]. Summary by Sections Financial Performance - In Q2 2024, the company achieved a revenue of 7.76 billion yuan, down 3.6% year-on-year, but net profit rose by 34.9% to 720 million yuan [2]. - The company’s gross margin was reported at 10.8%, a decrease of 1.4 percentage points year-on-year, while the net margin improved to 9.1%, an increase of 2.1 percentage points [2]. Order and Project Management - New orders signed in H1 2024 totaled 12.52 billion yuan, a decline of 30.0% year-on-year, with overseas contracts accounting for 40.0% of the total [2]. - The company is managing 72 projects, with 7 completed and delivered, and expects to complete 35 projects in H2 2024 [2]. Industry Outlook - The marine oil and gas engineering sector is projected to continue benefiting from China's strategic initiatives to enhance oil and gas reserves, with global exploration investments expected to exceed 30 billion USD in 2024 [3]. - The company is positioned as a leader in the domestic marine engineering sector, likely to gain from increased offshore oil and gas extraction efforts [3]. Profit Forecast - The forecast for net profit attributable to shareholders for 2024-2026 is 1.92 billion, 2.28 billion, and 2.53 billion yuan, respectively, with a compound annual growth rate of 16.0% [3].