CIMC ENRIC(03899) 光大证券·2024-08-27 08:08Investment Rating - The report maintains a "Buy" rating for the company [4][5]. Core Views - The company has shown revenue growth in the first half of 2024, with a 6.7% year-on-year increase in revenue to 11.48 billion RMB, although net profit decreased by 14.5% to 490 million RMB [2]. - The clean energy segment has performed exceptionally well, with a 25.1% increase in revenue to 7.88 billion RMB, driven by the recovery in natural gas consumption and supportive government policies [2]. - The hydrogen energy business has seen significant growth, with a 65.2% increase in revenue to 450 million RMB, supported by national policies promoting the hydrogen industry [3]. Financial Performance Summary - Revenue and Profit Forecasts: - Revenue is projected to grow from 19.60 billion RMB in 2022 to 34.64 billion RMB in 2026, with a compound annual growth rate (CAGR) of approximately 13.5% [11]. - Net profit is expected to increase from 1.06 billion RMB in 2022 to 1.90 billion RMB in 2026, with a CAGR of about 24.9% [11]. - Earnings Per Share (EPS) is forecasted to rise from 0.52 RMB in 2022 to 0.94 RMB in 2026 [11]. - The company's Price-to-Earnings (P/E) ratio is projected to decrease from 11.4 in 2022 to 6.3 in 2026, indicating a potentially undervalued stock [11]. Order Backlog and Future Growth - The company has a strong order backlog, with total orders increasing by 42.5% year-on-year to 29.35 billion RMB as of June 30, 2024 [2]. - New orders signed in the first half of 2024 reached 16.4 billion RMB, a 29.5% increase compared to the previous year [2].