SCTE(SH:600674) Minsheng Securities·2024-10-15 07:30Investment Rating - The report maintains a "Cautious Recommendation" rating for the company [3][4]. Core Views - The company has reported a revenue of 1.087 billion yuan for the first three quarters of 2024, representing a year-on-year increase of 6.48%. The net profit attributable to shareholders reached 4.422 billion yuan, up 15.10% year-on-year, with a basic earnings per share of 0.9133 yuan [2][3]. - The increase in hydropower generation and investment income has significantly contributed to profit growth. The company completed a total power generation of 4.345 billion kWh, a year-on-year increase of 8.87%, with an average on-grid electricity price of 0.217 yuan/kWh, up 0.93% year-on-year [2][3]. - The company plans to increase its investment in the Yalong River hydropower project, with a total capital increase of 15 billion yuan, which is expected to enhance investment returns [2][3]. Summary by Relevant Sections Financial Performance - For Q3 2024, the company achieved a net profit of 2.12 billion yuan, a year-on-year increase of 21.55% [2]. - The average on-grid electricity price for hydropower was 0.201 yuan/kWh, reflecting a year-on-year increase of 2.55% [2]. - The company’s investment income for H1 2024 was 2.412 billion yuan, with significant contributions from Yalong River and Dadu River projects [2][3]. Future Projections - The projected net profits for 2024, 2025, and 2026 are 5.005 billion yuan, 5.287 billion yuan, and 5.573 billion yuan, respectively, with corresponding EPS of 1.03 yuan, 1.08 yuan, and 1.14 yuan [3][4]. - The report anticipates a PE ratio of 18, 17, and 16 for the years 2024, 2025, and 2026, respectively [4].