SINOTRANS(601598) SINOLINK SECURITIES·2024-10-27 03:40Investment Rating - The report maintains a "Buy" rating for China National Freight Forwarding Co., Ltd. (601598.SH) [2] Core Views - In Q1-Q3 2024, the company achieved operating revenue of 85.87 billion RMB, a year-on-year increase of 17.9%, while the net profit attributable to shareholders decreased by 10.4% to 2.825 billion RMB [2] - The growth in freight forwarding and logistics business volume is notable, with sea freight agency volume increasing by 13.7% to 10.964 million TEU, and air freight volume rising by 16.9% to 753,000 tons [2] - The company is expanding its market presence both domestically and internationally, with strategic clients' revenue increasing year-on-year [2] Summary by Sections Performance Overview - For Q3 2024, the company reported operating revenue of 29.51 billion RMB, up 18.3% year-on-year, but the net profit attributable to shareholders fell by 10.3% to 880 million RMB [2] - The gross profit margin for Q3 2024 was 4.3%, down 1.4 percentage points year-on-year, primarily due to pricing pressures in contract logistics and declining warehouse rental rates [2] Business Analysis - The freight forwarding and logistics business showed growth across various segments: - Sea freight agency: 10.964 million TEU, +13.7% - Air freight: 753,000 tons, +16.9% - Rail freight: 448,000 TEU, +38.3% - Contract logistics: 37.466 million tons, +6.4% - Project logistics: 5.186 million tons, +11.6% - Chemical logistics: 3.351 million tons, +17.8% - Cross-border e-commerce logistics: 160 million orders, -36.3% [2] Financial Forecast and Valuation - The report maintains net profit forecasts for 2024-2026 at 3.81 billion RMB, 4.39 billion RMB, and 4.83 billion RMB respectively [2]