Hengtong Logistics(603223) ZHESHANG SECURITIES·2024-09-01 02:03Investment Rating - The investment rating for the company is "Accumulate" [6] Core Views - The new business model of land-sea intermodal transport has significantly improved profitability [2] - The company has optimized its industrial layout, shifting from LNG trading to transportation services, which has directly impacted sales volume [2] - The port business is expected to benefit from the upcoming Yulong Petrochemical project, which has a planned annual capacity of 40 million tons and a total investment of several hundred billion [3] Summary by Sections Financial Performance - In the first half of 2024, the company achieved revenue of 1.21 billion yuan, a year-on-year decrease of 37%, while net profit attributable to shareholders was 72 million yuan, an increase of 7.7% [1] - The second quarter of 2024 saw revenue of 550 million yuan, a year-on-year decrease of 47% and a quarter-on-quarter decrease of 18%, with net profit attributable to shareholders of 43 million yuan, a year-on-year increase of 14.7% and a quarter-on-quarter increase of 55% [1] Profitability - The gross profit margin for the first half of 2024 was 9.7%, and the net profit margin was 6.0%, representing increases of 4.4 and 2.6 percentage points year-on-year, respectively [2] - The subsidiary Yulong Port achieved revenue of 58.88 million yuan and a net profit of 33.16 million yuan in the first half of 2024, with a net profit margin of 56% [2] Future Projections - The company is projected to achieve net profits of 160 million, 240 million, and 400 million yuan for 2024, 2025, and 2026, respectively, with year-on-year growth rates of 33%, 51%, and 69% [4] - The compound annual growth rate from 2023 to 2026 is expected to be 50% [4] Valuation - The price-to-earnings (P/E) ratios for 2024, 2025, and 2026 are projected to be 39, 26, and 15, respectively [4]