东方电缆：海缆龙头，海外及国内双重受益

Investment Rating - The report assigns a rating of "Buy" for the company [6][7]. Core Views - The company is positioned as a leader in the submarine cable industry, benefiting from both domestic and international markets, particularly in Europe [3][5]. - The company has shown robust earnings in the first half of 2024, with significant revenue growth driven primarily by land cable systems [2][11]. - The company is expected to continue capturing orders in Europe, enhancing its performance and market position [3][13]. Summary by Sections 1. Earnings Performance - In the first half of 2024, the company achieved operating revenue of 4.068 billion yuan, a year-on-year increase of 10.31%, with net profit attributable to shareholders reaching 644 million yuan, up 4.47% year-on-year [2][11]. - The second quarter of 2024 saw a significant increase in performance, with operating revenue of 2.758 billion yuan, a year-on-year increase of 22.55% and a quarter-on-quarter increase of 110.43% [2][11]. 2. European Market Orders - The company has secured substantial orders in Europe, totaling approximately 19.5 billion yuan, amidst tight supply conditions in the European market [3][13]. - The company has a history of successful bids for European offshore wind and interconnection projects, which positions it well for future opportunities [3][18]. 3. Order Backlog and Capacity Expansion - As of August 12, 2024, the company had an order backlog of 8.905 billion yuan, with submarine cables accounting for 2.949 billion yuan, indicating a positive trend in order fulfillment [21]. - The company is actively enhancing its production capacity, with plans to optimize its industrial layout and expand its production bases in different regions [23][32]. 4. Business Focus and Solutions - The company specializes in land cable systems, submarine cable systems, and marine engineering, with a strong focus on high-margin marine projects [4][24]. - The company is enhancing its solution capabilities in marine engineering, which is expected to further improve its profitability [4][28]. 5. Investment Recommendations - The report anticipates that the company will maintain its leading position in the market, driven by favorable conditions in the offshore wind sector and ongoing domestic project developments [5][19]. - Revenue projections for 2024 to 2026 are expected to reach 8.852 billion, 11.285 billion, and 13.267 billion yuan, respectively, with corresponding year-on-year growth rates of 21.1%, 27.5%, and 17.6% [5][7].