Yongfu(300712) 中国银河·2024-12-06 06:36Investment Rating - The report initiates coverage with a "Buy" rating for the company [3][6]. Core Views - The company is a leading provider of integrated power energy solutions in Fujian, focusing on new energy, clean energy, energy storage, smart grids, and digital energy [2][17]. - The company experienced a revenue decline in 2023 but anticipates a significant recovery in 2024, with projected revenue growth of at least 50% and net profit growth of at least 70% [2][24]. - The clean energy market is expected to expand significantly due to government support and the ongoing energy transition, providing new opportunities for the company [3][50]. Financial Performance Summary - In 2023, the company reported revenue of 2.034 billion yuan, a decrease of 7.2% year-on-year, and a net profit of 54 million yuan, down 35.25% [2][24]. - For 2024, the company plans to achieve revenue of 3.161 billion yuan, representing a growth rate of 55.38%, and a net profit of 950 million yuan, reflecting a growth rate of 75.66% [5][54]. - The company's gross margin for 2023 was 19.76%, with a projected decline to 18.11% in 2024 [5][31]. Market and Industry Insights - The power design industry in China is experiencing robust growth, with a revenue increase of 16.35% in 2023, and a compound annual growth rate (CAGR) of 22.57% from 2019 to 2023 [3][44]. - The total contract value for the power design industry reached 847.05 billion yuan in 2023, marking a year-on-year increase of 22.5% [3][44]. - The transition to a new power system and the promotion of clean energy are expected to create substantial market opportunities, with non-fossil energy generation capacity projected to reach 70% by 2030 [3][50].