JZ GROUP(SZ:300040) EBSCN·2024-08-29 09:11Investment Rating - The report maintains a "Buy" rating for the company [1][4]. Core Views - The company achieved a revenue of 742 million yuan in H1 2024, representing a year-on-year growth of 42.68%, and a net profit attributable to shareholders of 80 million yuan, up 38.56% year-on-year [1]. - In Q2 2024, the company reported a revenue of 424 million yuan, with a significant year-on-year increase of 80.92%, and a net profit of 56 million yuan, reflecting a 137.48% growth year-on-year [1]. - The comprehensive smart energy business experienced rapid growth, with revenue increasing by 116.72% to 266 million yuan in H1 2024, although the gross margin decreased by 4.96 percentage points to -2.80% [1]. - The company is actively advancing the construction of biomass projects, with two 40MW biomass cogeneration units achieving full-capacity grid connection [1]. - The company is focusing on the development of decentralized wind power projects, with a total of 9 projects under construction, totaling 3.495 million kilowatts, and 2 photovoltaic projects totaling 500MW [1]. - The report projects net profits for 2024-2026 to be 121 million, 172 million, and 194 million yuan respectively, with a downward adjustment of 61% and 55% for 2024 and 2025 [1]. Summary by Sections Financial Performance - H1 2024 revenue reached 742 million yuan, a 42.68% increase year-on-year, with a net profit of 80 million yuan, up 38.56% [1]. - Q2 2024 revenue was 424 million yuan, an 80.92% increase year-on-year, with a net profit of 56 million yuan, reflecting a 137.48% growth [1]. - Renewable energy generation revenue decreased by 19.00% to 193 million yuan in H1 2024, while gross margin improved by 5.97 percentage points to 68.90% [1]. Business Development - The company is focusing on optimizing its asset structure through the sale of power plants, which has led to a decline in power generation revenue [1]. - The biomass cogeneration projects have successfully achieved grid connection, contributing to the company's revenue growth [1]. - The company is also pursuing the development of energy storage projects, with a 200MW/400MWh smart energy project under construction [1]. Future Outlook - The report anticipates steady growth in the company's performance due to ongoing investments in renewable energy projects, particularly decentralized wind power and biomass energy [1]. - The current stock price corresponds to a PE ratio of 23 times for 2024, indicating potential for profit growth [1].