BAOFENG ENERGY(600989) 申万宏源·2024-11-26 07:52Investment Rating - The report maintains a "Buy" rating for the company [6]. Core Views - The Inner Mongolia project is gradually contributing to performance growth, while the Xinjiang coal chemical project opens up long-term growth potential [6][8]. - The Inner Mongolia Phase I 3 million tons coal-to-olefins project has successfully commenced trial production of its first 1 million tons/year olefins production line, achieving stable operation as of November 25 [6][7]. - The Xinjiang project is planned to have a capacity of 4 million tons of coal-to-olefins, leveraging low-cost raw materials to enhance profitability [8]. Financial Summary - The company's total revenue for 2023 is projected at 29,136 million, with a year-on-year growth rate of 2.5% [10]. - The net profit attributable to the parent company for 2024 is estimated at 6,589 million, reflecting a year-on-year growth of 16.6% [10]. - The projected earnings per share for 2024 is 0.90 yuan, with a price-to-earnings ratio of 18 times [10][8]. Project Details - The Inner Mongolia project is the largest coal-to-olefins project globally and the only one using green hydrogen to replace fossil fuels for olefins production [7]. - The Xinjiang project includes multiple facilities with significant production capacities, enhancing the company's growth prospects [8]. Investment Analysis - The projected net profits for 2024-2026 are 65.89 billion, 135.67 billion, and 150.40 billion respectively, with corresponding price-to-earnings ratios of 18, 9, and 8 times [8].