SHENHUO COAL&POWER(SZ:000933) Great Wall Securities·2024-10-24 01:10Investment Rating - The report maintains a "Buy" rating for Shenhuo Co., Ltd. [1][3][12] Core Views - The report highlights that Shenhuo Co., Ltd. has improved its profitability in Q3 2024 compared to the previous quarter, with a focus on enhancing shareholder returns through a mid-term cash dividend of 0.3 CNY per share [2][3] - The company is positioned as a leading aluminum processing enterprise in China, benefiting from cost advantages in its electrolytic aluminum business and favorable resource endowments in its coal mines [3] - The aluminum foil business has strong competitive advantages, including advanced equipment and an expanding market share [3] Financial Summary - Revenue for 2022 was 42,704 million CNY, with a projected decline to 37,383 million CNY in 2024, followed by growth to 39,651 million CNY in 2025 and 42,428 million CNY in 2026 [1][3][7] - Net profit attributable to shareholders decreased from 7,578 million CNY in 2022 to an estimated 5,028 million CNY in 2024, with a recovery expected to 5,633 million CNY in 2025 and 6,301 million CNY in 2026 [1][3][7] - The report projects EPS (diluted) to decline from 3.37 CNY in 2022 to 2.24 CNY in 2024, with a gradual increase to 2.50 CNY in 2025 and 2.80 CNY in 2026 [1][3][7] Cash Dividend - The total cash dividend amounts to 675 million CNY, representing 19.07% of the net profit attributable to shareholders for Q3 2024 [3]