Investment Rating - The report maintains a "Buy" rating for Mingyang Electric (301291 SZ) with a current PE valuation of 13/10/7 times for 2024-2026 [5] Core Views - Mingyang Electric achieved strong revenue and profit growth in H1 2024 with revenue of 2 47 billion yuan (+30 2% YoY) and net profit of 250 million yuan (+51 4% YoY) [2] - The company's profitability improved with a comprehensive gross margin of 23 3% (+1 54pct YoY +0 33pct QoQ) driven by better supply chain management and technological advancements [3] - Revenue from new energy sectors grew rapidly with photovoltaic (+32% YoY) wind power (+25% YoY) and energy storage (+62% YoY) while data center business maintained steady growth (+4% YoY) [4] Business Performance Domestic and Overseas Markets - Mingyang Electric maintained leading market share in domestic box-type substation products and expanded to over 40 countries globally including Southeast Asia Europe Middle East and North America [3] - Box-type substation revenue reached 1 607 billion yuan (+23 45% YoY) with a gross margin of 22 11% (+1 63pct YoY) while transformer products grew 110 21% YoY to 474 million yuan [3] New Energy Sector - The company benefited from rapid expansion in China's new energy sector with 102 48GW of new photovoltaic capacity (+31% YoY) and 25 84GW of new wind power capacity (+12% YoY) [4] - Energy storage projects reached 44 44GW/99 06GWh representing over 40% growth compared to the end of 2023 [4] Financial Projections - Revenue is expected to grow at a CAGR of 30% from 2024-2026 reaching 10 791 billion yuan in 2026 [5] - Net profit is projected to increase at a CAGR of 31% reaching 1 135 billion yuan in 2026 [5] - ROE is forecasted to improve from 14 14% in 2024 to 18 49% in 2026 [7] R&D and Cash Flow - R&D expenses increased by 47% YoY to 89 million yuan in H1 2024 as the company accelerated product upgrades and expanded its product line [4] - Operating cash flow turned negative at -450 million yuan due to increased bill payments and inventory buildup but is expected to improve with enhanced receivables management [4]
明阳电气：多品类&多场景驱动，业绩快速增长