SDRB(000498) 天风证券·2024-10-30 09:18Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for the next six months [5]. Core Insights - The company has shown significant improvement in its Q3 performance, with a notable increase in profit margins and a reduction in expense ratios, leading to a strong quarterly profit growth [1][2]. - The company is expected to benefit from ongoing fiscal stimulus measures and a favorable infrastructure investment environment in Shandong province, which may lead to a reversal in its fundamental performance [3][4]. Financial Performance Summary - For the first three quarters of 2024, the company achieved a revenue of 42.679 billion, a year-on-year decrease of 6.33%, while the net profit attributable to the parent company was 1.456 billion, reflecting a year-on-year increase of 3.52% [1]. - The gross profit margin for the first three quarters of 2024 was 12.30%, an increase of 0.20 percentage points year-on-year, with the Q3 gross profit margin reaching 12.61%, up 0.67 percentage points year-on-year [2]. - The net profit margin for Q3 improved to 3.48%, an increase of 0.63 percentage points compared to the previous year [2]. Market and Investment Outlook - The company has secured a significant contract worth 1.096 billion for the construction of the Longyan Railway urbanization project, indicating strong market positioning in its traditional Shandong market [3]. - The report projects an upward revision in profit forecasts for 2024-2026, with expected net profits of 2.381 billion, 2.638 billion, and 2.947 billion respectively, reflecting a positive growth trajectory [4].