SDIC Power(SH:600886) Tianfeng Securities·2024-09-01 12:47Investment Rating - The report maintains a "Buy" rating for the company, with a target price indicating a potential upside of over 20% within the next six months [8][15]. Core Insights - The company reported a revenue of 27.102 billion yuan for the first half of the year, reflecting a year-on-year growth of 2.79%, while the net profit attributable to shareholders was 3.744 billion yuan, up 12.19% year-on-year [1]. - The performance of hydropower was stable, with significant contributions from the Yalong River hydropower project, which saw a 37.2% increase in Q2 generation compared to the previous year [2]. - The thermal power segment faced challenges with a 10.8% decline in Q2 generation, but cost reductions helped improve profitability [3]. - The company added 434,900 kW of non-thermal power capacity in the first half, primarily from solar energy, although the average selling price for solar power decreased by 28.5% in Q2 [4]. - The profit forecast for the company has been slightly adjusted, with expected net profits of 7.75 billion, 8.39 billion, and 9.08 billion yuan for 2024, 2025, and 2026 respectively [5]. Financial Summary - The company's revenue for 2022 was 50.49 billion yuan, with a projected growth rate of 15.58% [6]. - The net profit attributable to shareholders for 2023 is estimated at 6.705 billion yuan, with a growth rate of 64.36% [6]. - The earnings per share (EPS) for 2024 is projected to be 1.04 yuan, with a price-to-earnings (P/E) ratio of 14.81x [6]. - The company’s total assets are expected to be 253.81 billion yuan in 2024, with a debt-to-asset ratio of 57.06% [11].