Jereh Group(SZ:002353) Tianfeng Securities·2024-10-27 09:14Investment Rating - The report maintains a "Buy" rating for the company with a target price indicating an expected return of over 20% within the next six months [4][12]. Core Views - The company demonstrated stable performance in its Q3 2024 results, with revenue of 8.047 billion yuan, a year-over-year decrease of 8.1%, and a net profit attributable to shareholders of 1.598 billion yuan, reflecting a year-over-year increase of 2.21% [1]. - The report highlights the company's improving profitability, with gross and net profit margins of 35.02% and 20.49%, respectively, both showing year-over-year increases [1]. - The company has secured significant contracts in various regions, including a major gas project in Central Asia and multiple projects in the Middle East, indicating strong order growth and market expansion [2]. - The profit forecast for 2024-2026 has been adjusted, with expected net profits of 2.7 billion, 3.23 billion, and 3.9 billion yuan, respectively, reflecting a positive outlook on the company's global development and core competitive advantages [2]. Financial Summary - For the first three quarters of 2024, the company reported a cash collection ratio of 118.8%, an increase of 29.8 percentage points year-over-year, and a net cash ratio of 89.1%, showing significant improvement compared to the previous year [1]. - The company’s total revenue for 2024 is projected to be 14.497 billion yuan, with a growth rate of 4.2% [3][8]. - The earnings per share (EPS) for 2024 is estimated at 2.64 yuan, with a price-to-earnings (P/E) ratio of 12.76 [3][8]. - The company’s total assets are expected to reach 34.337 billion yuan by 2024, with a debt-to-asset ratio of 39.95% [6][8].