Tianfeng Securities·2024-09-02 12:31Investment 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 [6][14]. Core Views - The company's H1 2024 revenue is reported at 168.08 billion yuan, a year-on-year decrease of 0.8%, while the net profit attributable to shareholders is 29.50 billion yuan, down 11.3% year-on-year [1]. - The coal segment's revenue for H1 2024 is 134.33 billion yuan, a decline of 0.7%, with total profit down 18.1% to 26.04 billion yuan due to rising costs [2]. - The electricity segment shows a slight revenue increase of 0.4% to 44.35 billion yuan, but profit decreased by 9.5% to 5.25 billion yuan, attributed to lower average selling prices [3]. - The report forecasts net profits for 2024-2026 at 63.11 billion, 64.13 billion, and 64.32 billion yuan respectively, with corresponding EPS of 3.17, 3.23, and 3.24 yuan [3]. Financial Summary - H1 2024 operating cash flow net amount is 52.67 billion yuan, reflecting a year-on-year increase of 13.6% [1]. - The average selling price of coal in H1 2024 is 566 yuan per ton, down 5.8% year-on-year, while the average selling price of electricity is 0.404 yuan per kWh, down 3.3% [2][3]. - The company's total power generation in H1 2024 is 104.04 billion kWh, an increase of 3.8% year-on-year, with total sales of 97.89 billion kWh, up 3.9% [3]. Valuation Metrics - The report provides projected revenue growth rates of 2.16%, 3.56%, and 3.03% for 2024, 2025, and 2026 respectively [4]. - The company's P/E ratio is projected to be 12.94 for 2024, decreasing slightly in subsequent years [4]. - The net profit margin is expected to stabilize around 18% for the forecast period [10].