CNNP(SH:601985)2024-10-31 00:50Investment Rating - The report maintains a "Buy" rating for China Nuclear Power (601985) [5] Core Views - The company reported a revenue of 56.99 billion yuan for the first three quarters of 2024, a year-on-year increase of 1.60%, while the net profit attributable to shareholders decreased by 4.22% to 8.93 billion yuan [5] - The decline in profit is attributed to lower market electricity prices and a revenue growth rate that lagged behind cost increases [5] - The company completed a total electricity generation of 1,603.88 billion kWh in the first nine months of 2024, representing a year-on-year growth of 2.70% [5] - The report highlights that the company has not added any new operational nuclear power units as of September 2024, with a decrease in electricity generation in Q3 2024 due to increased maintenance activities [5] - Future growth is expected as the Fuzhou Unit 4 has restarted and the Zhangzhou Unit 1 is about to be commissioned, which will support electricity generation increases in Q4 2024 and beyond [5] - The report notes that the approval pace for nuclear power projects has accelerated, with 11 new units approved in 2024, the highest in recent years [5] - The company’s renewable energy capacity continues to grow, with a total of 24.15 GW in operation as of September 2024, contributing to significant increases in wind and solar power generation [5] - Financially, the company has seen a decrease in its debt ratio to 69.28%, and financial expenses have decreased due to interest rate cuts [5] - The profit forecast for 2024 has been adjusted down to 10.63 billion yuan, while the forecasts for 2025 and 2026 remain unchanged at 12.85 billion yuan and 13.43 billion yuan respectively [5] Summary by Sections Market Data - Closing price as of October 29, 2024, is 10.35 yuan, with a market capitalization of 195.44 billion yuan [2] - The price-to-book ratio is 2.1, and the dividend yield is 1.88% [2] Financial Summary - The company’s total revenue for 2023 was 74.96 billion yuan, with a projected revenue of 77.71 billion yuan for 2024 [6] - The net profit for 2023 was 10.62 billion yuan, with a forecast of 10.63 billion yuan for 2024 [6] - The company’s gross margin is projected to be 42.2% in 2024, with a return on equity (ROE) of 9.2% [6]