NJGK(SH:600064) Haitong Securities·2024-09-06 01:11Investment Rating - The investment rating for the company is "Outperform the Market" and is maintained [1] Core Views - The company reported a significant decline in revenue and net profit for the first half of 2024, with operating income of 1.044 billion yuan, down 62.35% year-on-year, and net profit attributable to the parent company of 1.023 billion yuan, down 11.69% year-on-year [5] - The municipal revenue showed growth, with municipal business revenue reaching 598 million yuan, an increase of 30.23% year-on-year, while the real estate business faced substantial declines in both sales area and revenue [5] - The company is focusing on technological innovation and market expansion in sectors such as biomedicine and semiconductor materials, and has become the largest shareholder of Chenpai Pharmaceutical [5][6] - The company has a low debt level, with a debt-to-asset ratio of 49.16% and an average financing cost of 2.81%, which is a decrease of 0.27 percentage points year-on-year [6] - The reasonable value range for the company's stock is estimated to be between 6.00 and 7.00 yuan, with projected EPS for 2024 and 2025 at 1.00 yuan and 1.11 yuan respectively [6] Summary by Sections Financial Performance - In the first half of 2024, the real estate business saw a contract sales area of 0.27 million square meters, a decrease of 98.92%, and a contract sales amount of 123 million yuan, down 92.91% year-on-year [5] - The company achieved an investment income of 1.057 billion yuan, a decrease of 7.32% year-on-year, and a fair value change loss of 112 million yuan [5] Future Outlook - The company plans to continue analyzing market and industry trends to enhance competitiveness and promote stable business development [6] - The company aims to innovate sales strategies and actively explore policies to boost sales and cash flow in the real estate sector [6] Valuation Metrics - The projected financial metrics for the company include operating income of 5.073 billion yuan for 2024, with a year-on-year growth of 7.2%, and net profit of 1.728 billion yuan, reflecting a year-on-year growth of 10.8% [8] - The company’s average financing cost is expected to remain low, supporting its operational efficiency [6]