GUANGHUI ENERGY(600256) Minsheng Securities·2024-11-01 06:00Investment Rating - The report maintains a "Cautious Recommendation" rating for the company [5]. Core Views - The company reported a significant decline in revenue and net profit for the first three quarters of 2024, with revenue at CNY 26.39 billion, down 46.76% year-on-year, and net profit at CNY 2.00 billion, down 58.72% year-on-year [3]. - In Q3 2024, the company achieved a revenue of CNY 9.14 billion, which is a decrease of 36.87% year-on-year but an increase of 26.85% quarter-on-quarter [3]. - The coal production and sales saw a substantial increase in Q3 2024, with coal production reaching 12.54 million tons, up 130.95% year-on-year and 163.34% quarter-on-quarter [3]. - The company is expected to see long-term growth in its coal chemical business due to new project investments, including a CNY 16.48 billion project aimed at producing various coal-based products [3]. Summary by Sections Financial Performance - For the first three quarters of 2024, the company reported a revenue of CNY 26.39 billion, a decrease of 46.76% year-on-year, and a net profit of CNY 2.00 billion, down 58.72% year-on-year [3]. - In Q3 2024, the company achieved a revenue of CNY 9.14 billion, with a net profit of CNY 548 million, reflecting a year-on-year decrease of 24.90% [3][4]. Production and Sales - Coal production in Q3 2024 was 12.54 million tons, marking a year-on-year increase of 130.95% and a quarter-on-quarter increase of 163.34% [3]. - The company’s coal sales reached 12.90 million tons in Q3 2024, up 91.05% year-on-year [3]. Future Outlook - The company plans to invest CNY 16.48 billion in a new coal utilization project, which is expected to contribute an average annual after-tax profit of CNY 1.64 billion once operational [3]. - The projected net profits for 2024-2026 are CNY 4.17 billion, CNY 3.61 billion, and CNY 4.05 billion, respectively, with corresponding EPS of CNY 0.63, CNY 0.55, and CNY 0.62 [4][6].