CNNP(SH:601985) Guolian Securities·2024-09-26 06:03Investment Rating - The report maintains a "Buy" rating for the company [4][10]. Core Views - The company is a leading nuclear power operator with a steady increase in operational capacity and generation, supported by a robust financial position and stable cash flow [2][6][8]. - The approval and construction of new nuclear projects are accelerating, which is expected to enhance the company's cash flow and profitability [2][6][10]. Summary by Sections Company Overview - As of June 2024, the company operates 25 nuclear units and has 18 units under construction or approved [2][6]. - The company achieved a net profit of 10.62 billion yuan in 2023, a year-on-year increase of 17.9% [6][10]. Industry Growth - The approval pace for nuclear projects in China has accelerated, with 10 units approved in 2022-2023 and 11 units approved in 2024 [6][18]. - Nuclear power's share of total electricity generation in China is currently only 4.7%, indicating significant growth potential [6][21]. Company Development - The company’s operational capacity reached 23.75 GW, with a year-on-year increase of 16% in approved and under-construction units [6][28]. - The company’s electricity market transaction ratio was 44.6% in 2023, contributing to stable profitability [6][8]. Financial Forecast and Investment Recommendations - Revenue projections for 2024-2026 are 79.49 billion, 87.79 billion, and 94.77 billion yuan, with year-on-year growth rates of 6.05%, 10.43%, and 7.95% respectively [10][28]. - The expected net profit for the same period is 11.13 billion, 12.16 billion, and 13.22 billion yuan, with corresponding growth rates of 4.77%, 9.26%, and 8.69% [10][28].