Sinoma-int(SH:600970) China Post Securities·2024-10-29 06:30Investment Rating - The report maintains a "Buy" rating for the company [2] Core Views - The company has shown resilience with a steady performance in Q3, highlighted by a 0.7% year-on-year increase in revenue to 317.31 billion yuan and a 2.9% increase in net profit to 20.6 billion yuan [2][3] - New signed orders in Q3 improved significantly, reaching 157.0 billion yuan, a 35% year-on-year increase, with domestic orders growing by 87% [3] Company Overview - Latest closing price: 10.26 yuan - Total shares: 2.642 billion, circulating shares: 2.234 billion - Total market capitalization: 27.1 billion yuan, circulating market capitalization: 22.9 billion yuan - 52-week high/low: 13.38/8.66 yuan - Debt-to-asset ratio: 62.1% - Price-to-earnings ratio: 9.16 - Largest shareholder: China National Building Material Group Corporation [1] Financial Performance - Q3 gross margin: 17.84%, a decrease of 1.27 percentage points year-on-year - Q3 net margin: 6.34%, an increase of 0.01 percentage points year-on-year - Q3 financial expenses decreased by 30.3% year-on-year, indicating improved currency exchange issues [3] - Q3 investment net income was 13 million yuan, compared to a loss of 50.65 million yuan in the same period last year [3] Earnings Forecast - Expected revenue for 2024 and 2025: 479 billion yuan and 517 billion yuan, respectively, with year-on-year growth rates of 4.63% and 7.98% - Expected net profit for 2024 and 2025: 32.73 billion yuan and 35.00 billion yuan, with year-on-year growth rates of 12.24% and 6.94% - Corresponding P/E ratios for 2024 and 2025 are projected to be 8.3X and 7.8X [4][5]