Sany Renewable Energy (SH:688349) SINOLINK SECURITIES·2024-11-01 06:10Investment Rating - The report maintains a "Buy" rating for the company, with an expected increase in net profit for the years 2024-2026 [2]. Core Insights - The company reported a revenue of 9.07 billion RMB for the first three quarters of 2024, representing a year-on-year growth of 21.1%. However, the net profit attributable to shareholders decreased by 33.6% to 685 million RMB [2]. - The third quarter saw a revenue of 3.79 billion RMB, up 5.9% year-on-year and 6.6% quarter-on-quarter, with a net profit of 251 million RMB, marking a 17.6% increase year-on-year and a 49.8% increase quarter-on-quarter [2]. - The comprehensive gross margin for Q3 was 14.9%, slightly down from the first half of the year but showing a year-on-year recovery of approximately 3.4 percentage points, mainly benefiting from stabilized bidding prices in the domestic wind turbine market and increased sales volume [2]. - Inventory and contract liabilities have significantly increased, indicating a potential acceleration in delivery during the peak season at the end of the year [2]. - The company achieved a major breakthrough in the overseas market by signing a sales contract for 1624 MW of wind turbines in India, which is expected to improve the revenue structure and enhance profitability [2]. Summary by Sections Revenue and Profitability - For 2024, the company is projected to achieve a revenue of 22.72 billion RMB, with a growth rate of 52.12%. The net profit is expected to reach 2.21 billion RMB, reflecting a growth rate of 10.17% [4]. - The diluted earnings per share (EPS) for 2024 is estimated at 1.80 RMB, with a projected price-to-earnings (P/E) ratio of 16.02 [4]. Financial Metrics - The company's return on equity (ROE) is forecasted to be 15.69% in 2024, with a P/B ratio of 2.51 [4]. - The operating cash flow per share is expected to be 2.18 RMB in 2024, indicating strong cash generation capabilities [4]. Market Position and Outlook - The report highlights a positive outlook for the company, driven by increased demand in the wind energy sector and improved pricing stability in the domestic market [2]. - The anticipated growth in overseas orders is expected to further enhance the company's revenue quality and profitability [2].