XJEC(000400) 中原证券·2024-12-31 10:29Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook on its future performance [6]. Core Insights - The company is a leading player in the energy and power equipment manufacturing industry, focusing on four key areas: source, network, load, and storage. It has a strong historical performance with a revenue CAGR of 15.73% and a net profit CAGR of 34.08% from 2018 to 2023 [2][42]. - The acceleration of ultra-high voltage (UHV) construction and the expansion of external network businesses, including energy storage and hydrogen energy, are expected to drive the company's performance growth [3][6]. - The company has diversified its business segments into six categories: smart distribution and transformation systems, DC transmission systems, smart meters, smart medium-voltage power supply equipment, new energy and system integration, and charging and swapping equipment [47]. Summary by Sections Company Overview - The company has a rich history dating back to the 1940s and has evolved into a key subsidiary of the China Electric Equipment Group. It has a clear business focus and extensive experience in electrical equipment design and manufacturing [2][29]. Financial Performance - In the first three quarters of 2024, the company achieved a revenue of 9.586 billion yuan, a year-on-year decrease of 10.11%, while net profit increased by 15.88% to 895 million yuan [2][42]. - The company expects steady revenue growth from 2024 to 2026, with projected revenues of 17.68 billion yuan, 20.20 billion yuan, and 23.21 billion yuan, respectively [6]. Business Segments - The largest revenue contributor in the first half of 2024 was the smart distribution and transformation systems, generating 2.123 billion yuan, accounting for 31.05% of total revenue [47]. - The company has seen rapid growth in its new energy-related businesses, including solar and energy storage, and is actively expanding into the hydrogen energy sector [47]. Market Trends - The report highlights that the UHV construction is entering a peak period, with significant projects planned for the 14th Five-Year Plan, which will enhance the company's market position [57][65]. - The company is well-positioned to benefit from the increasing investments in the power grid and the acceleration of UHV construction, particularly in the context of the growing demand for renewable energy solutions [6][57].