Minsheng Securities·2024-11-03 10:46Investment Rating - The report maintains a "Recommended" rating for the company, indicating a positive outlook for future performance [5]. Core Views - The company reported a revenue of 14.604 billion yuan for the first three quarters of 2024, a decrease of 8.06% year-on-year, and a net profit attributable to shareholders of 1.296 billion yuan, down 34.18% year-on-year [2]. - In Q3 2024, the company experienced significant revenue decline, with 3.908 billion yuan, a year-on-year decrease of 37.03% and a quarter-on-quarter decrease of 21.37%. The net profit for this quarter was -203 million yuan, a year-on-year drop of 122.97% [2]. - The report highlights that the industry is facing a temporary oversupply, leading to pressure on profitability in Q3 2024. The average price of photovoltaic glass has dropped significantly, with a 15% and 24% decrease for 3.0mm and 2.0mm glass respectively since June [2][3]. - The report anticipates that the accelerated cold repair of production capacity in the industry may alleviate supply pressures, potentially stabilizing the company's profitability in the future [3]. Financial Summary - The company’s projected revenues for 2024, 2025, and 2026 are 18.375 billion yuan, 21.182 billion yuan, and 26.371 billion yuan, respectively, with growth rates of -14.6%, 15.3%, and 24.5% [4]. - The net profit attributable to shareholders is expected to be 1.044 billion yuan in 2024, 1.847 billion yuan in 2025, and 2.732 billion yuan in 2026, with corresponding growth rates of -62.2%, 77.0%, and 47.9% [4]. - The report provides a price-to-earnings (PE) ratio forecast of 59X for 2024, 34X for 2025, and 23X for 2026, indicating a potential recovery in profitability as supply pressures ease [3][4].