Jiangsu Guoxin (002608) 国金证券·2024-10-31 03:44Investment Rating - The report maintains an "Accumulate" rating for the company [2][4]. Core Views - The company's performance in the thermal power sector has improved due to increased electricity generation and stable pricing, leading to a significant rise in profits [3][4]. - The company reported a total revenue of 27.98 billion yuan for the first three quarters of 2024, representing a year-on-year increase of 11.87%, and a net profit attributable to shareholders of 2.92 billion yuan, up 48.47% year-on-year [3][4]. - The company benefits from a strong demand for electricity in Jiangsu province, with a 12.4% year-on-year increase in electricity consumption in Q3 2024, which is higher than the national average [4]. - The company has six coal-fired power units under construction, which are expected to contribute to future earnings growth [4]. - Investment income has increased significantly due to the company's increased stake in Jiangsu Bank, with a year-on-year growth of 72.5% in Q3 2024 [4]. Summary by Sections Financial Performance - For Q3 2024, the company achieved a revenue of 10.21 billion yuan, a year-on-year increase of 5.32%, and a net profit of 970 million yuan, up 14.4% year-on-year [3][4]. - The company expects net profits of 3.01 billion yuan, 3.41 billion yuan, and 3.57 billion yuan for the years 2024, 2025, and 2026 respectively, with corresponding EPS of 0.80, 0.90, and 0.95 yuan [4]. Operational Highlights - The company has a strong operational presence in Jiangsu, with approximately 70% of its coal-fired power generation units located there, benefiting from the province's electricity demand [4]. - The company has initiated a new energy project in Lianyungang, indicating a strategic move towards diversifying its energy portfolio [4]. Future Outlook - The company anticipates stable growth in its thermal power business due to a decline in coal prices and the gradual commissioning of new power units during the 14th Five-Year Plan period [4].