POWERCHINA Ltd(601669) 东方财富·2024-11-04 01:23Investment Rating - The report maintains an "Accumulate" rating for China Power Construction (601669) [4][6]. Core Views - The company reported a revenue of 425.67 billion yuan for the first three quarters of 2024, a year-on-year increase of 1.20%, while the net profit attributable to shareholders was 8.806 billion yuan, a decrease of 7.21% [1]. - New orders showed steady growth, particularly in the energy and power sector, with new orders totaling 861.123 billion yuan for the first three quarters, up 5.42% year-on-year [1]. - The gross margin remained stable at 12.42% for the first three quarters, with a slight increase of 0.12 percentage points year-on-year [2]. - Cash flow from operations saw a significant outflow, with a net cash flow of 46.926 billion yuan, reflecting an increase in cash payments for goods and services [2]. Summary by Sections Financial Performance - For Q3 2024, the company achieved a revenue of 140.75 billion yuan, a year-on-year increase of 1.01%, and a net profit of 2.47 billion yuan, down 9.00% year-on-year [1]. - The gross margin for Q3 was reported at 12.73%, a decrease of 0.15 percentage points year-on-year [2]. - Financial expenses increased to 7.975 billion yuan, up 686 million yuan year-on-year, and asset impairment losses rose to 695 million yuan, an increase of 573 million yuan [2]. Order Growth - The company secured new orders of 2,122.36 billion yuan in Q3, which remained flat year-on-year. The energy and power sector saw the highest growth in new orders, totaling 518.39 billion yuan, up 19.68% [1]. Future Outlook - The report anticipates continued high demand for hydropower construction, benefiting from the national energy strategy and improved local government finances, which should enhance the company's cash flow and profitability [3]. - The profit forecast for 2024-2026 is adjusted slightly, with expected net profits of 13.898 billion yuan, 15.155 billion yuan, and 16.620 billion yuan, representing year-on-year growth rates of 7.00%, 9.05%, and 9.66% respectively [6][7].