SDHS(600350) Guolian Securities·2024-11-03 04:18Investment Rating - The investment rating for Shandong Expressway (600350) is "Buy" (maintained) [4] Core Views - The company reported a revenue of 19.901 billion yuan for the first three quarters of 2024, representing a year-on-year increase of 10.94%. In the third quarter alone, revenue reached 7.765 billion yuan, up 19.33% year-on-year. However, the net profit attributable to shareholders for the first three quarters was 2.516 billion yuan, a decrease of 5.70% year-on-year, with the third quarter net profit at 883 million yuan, down 2.74% year-on-year [2][6] Summary by Sections Financial Performance - For the first three quarters of 2024, the company achieved a total revenue of 19.901 billion yuan, a 10.94% increase year-on-year. The third quarter revenue was 7.765 billion yuan, reflecting a 19.33% year-on-year growth. However, the net profit attributable to shareholders for the first three quarters was 2.516 billion yuan, down 5.70% year-on-year, with the third quarter net profit at 883 million yuan, a decrease of 2.74% year-on-year [2][6] Toll Revenue - In the third quarter, toll revenue decreased by 2.4%, with a total toll income of 7.569 billion yuan for the first three quarters, down 7.44% year-on-year. The main highway, Jiqing Expressway, generated toll revenue of 2.445 billion yuan, down 13.62% year-on-year, primarily due to traffic diversion from the opening of the Jiqing Middle Line and the impact of adjacent road expansion [6] Project Investments - The company plans to invest in the Weilai Expressway expansion project, with a total investment of approximately 6.875 billion yuan. The project will be funded with 25% from the company's own funds and 75% through bank loans. The project spans 137.27 kilometers and is expected to start construction in November 2024 and be completed by October 2027. The internal rate of return (IRR) for the project is estimated at 5.5% [6] Profit Forecast - The company forecasts revenues of 27.085 billion yuan, 28.874 billion yuan, and 30.408 billion yuan for 2024, 2025, and 2026, respectively, with year-on-year growth rates of 2.03%, 6.60%, and 5.31%. The net profit attributable to shareholders is expected to be 3.233 billion yuan, 3.535 billion yuan, and 3.823 billion yuan for the same years, with growth rates of -1.95%, 9.34%, and 8.14% respectively [6][7]