CDG(SH:603018) Guoyuan Securities·2024-09-05 09:00Investment Rating - The report maintains a "Buy" rating for the company [5][8]. Core Views - The company experienced a decline in revenue and profit in H1 2024, with revenue of 1.661 billion yuan, down 25.82% year-on-year, and a net profit of 154 million yuan, down 41.28% year-on-year, primarily due to a downturn in traditional markets and intensified competition [3][4]. - Despite challenges in traditional business, the company is focusing on cost reduction and efficiency improvements while actively developing emerging sectors such as low-altitude economy and digital intelligence [4][5]. - The company has made significant progress in international markets, achieving breakthroughs in regions like Singapore, the Philippines, Indonesia, and Hong Kong [4]. Financial Performance and Forecast - The company’s revenue for 2024 is projected to be 4.603 billion yuan, with net profit expected to be 500 million yuan, corresponding to an EPS of 0.73 yuan per share and a PE ratio of 9 times [5][7]. - Revenue is expected to recover slightly in 2025 and 2026, with forecasts of 4.762 billion yuan and 4.976 billion yuan, respectively [5][7]. - The company’s gross margin for H1 2024 was 36.37%, a decrease of 0.40 percentage points year-on-year, while the expense ratio increased by 3.01 percentage points to 21.39% [3][4]. Business Segments - In H1 2024, the company’s various business segments showed mixed results, with revenue from planning research, surveying and design, comprehensive testing, digital and intelligent business, low-carbon and environmental business, and EPC at 229 million, 823 million, 196 million, 122 million, 184 million, and 82 million yuan, respectively [3]. - The revenue changes for these segments were -18.09%, -33.86%, -17.08%, -9.01%, -5.41%, and -32.15% year-on-year, indicating significant pressure on traditional business lines [3].