YINGLIU(SH:603308) Huajin Securities·2024-11-03 08:01Investment Rating - The report maintains a "Buy-A" rating for the company, indicating a favorable outlook for investment over the next six months [1][2]. Core Views - The company is expected to benefit from a favorable market environment in its two main business segments: aerospace and nuclear energy. New products are entering a growth phase, and as capacity utilization improves, the company's profit elasticity is anticipated to gradually manifest [2]. - The low-altitude economy segment, where the company has invested for years, is expected to replicate the growth trajectory of its aerospace business, becoming a new growth driver [2]. Financial Performance Summary - For the first three quarters of 2024, the company achieved revenue of 1.91 billion yuan, a year-on-year increase of 5.72%. The net profit attributable to shareholders was 227 million yuan, down 6.90% year-on-year, while the non-recurring net profit was 220 million yuan, up 11.59% year-on-year [1]. - In Q3 2024, the company reported revenue of 642 million yuan, a year-on-year increase of 3.06% and a quarter-on-quarter increase of 6.06%. The net profit attributable to shareholders was 75 million yuan, down 8.75% year-on-year but up 21.98% quarter-on-quarter [1]. - The company has a robust order backlog in the gas turbine sector, with approximately 800 million yuan in orders as of September 30, 2024, and new orders of 400 million yuan signed in August and September [1]. Financial Projections - The company forecasts net profits of 364 million yuan, 465 million yuan, and 574 million yuan for the years 2024, 2025, and 2026, respectively. Corresponding EPS is projected to be 0.54 yuan, 0.69 yuan, and 0.85 yuan, with P/E ratios of 26, 20, and 17 times [2][3]. - Revenue is expected to grow from 2.83 billion yuan in 2024 to 3.91 billion yuan in 2026, reflecting a compound annual growth rate of 17.5% [3][4]. Business Development - The company is expanding its nuclear energy business, maintaining a leading position in the nuclear primary pump shell casting sector and developing new products in nuclear island and conventional island categories [1]. - The company plans to issue convertible bonds to raise up to 1.5 billion yuan, primarily to invest in blade casing processing and advanced nuclear materials projects, enhancing its production capacity and meeting the growing demand for high-performance components in aerospace and gas turbine markets [1][2].