JSNE(603693) 华创证券·2025-03-08 00:20Investment Rating - The report assigns a "Strong Buy" rating for Jiangsu Xinneng (603693) [1][10]. Core Views - Jiangsu Xinneng is positioned as a key player in the renewable energy sector, benefiting from its strong backing by Jiangsu Guoxin Group and its focus on wind, solar, and biomass energy projects. The company is expected to gain from the upcoming growth in offshore wind energy in Jiangsu [6][8]. - The report highlights the significant growth potential in offshore wind energy, with Jiangsu's energy supply-demand dynamics favoring the development of renewable sources [6][9]. - The financial forecasts indicate steady growth in revenue and net profit, with projected net profits of 5.4 billion, 6.6 billion, and 7.6 billion yuan for 2024, 2025, and 2026, respectively [10]. Summary by Sections Company Overview - Jiangsu Xinneng focuses on clean energy generation, with a strong emphasis on wind, solar, and biomass energy. The company has a total installed capacity of 1.38 million kilowatts, with wind power accounting for 1.14 million kilowatts [6][18][30]. - The company has a stable shareholding structure, with Jiangsu Guoxin Group being the largest shareholder, holding 57.27% of the shares [21][22]. Financial Data - The company reported total revenue of 1.946 billion yuan in 2023, with a projected increase to 2.783 billion yuan by 2026, reflecting a compound annual growth rate (CAGR) of 17.8% [2][25]. - The net profit attributable to shareholders is expected to grow from 472 million yuan in 2023 to 763 million yuan in 2026, with a CAGR of 14.8% [2][10]. - The company's asset-liability ratio is 54.05%, indicating a stable financial structure [3][27]. Offshore Wind Investment Wave - The report emphasizes the potential for growth in offshore wind energy, with Jiangsu's offshore wind capacity expected to increase significantly in the coming years [6][9]. - The offshore wind energy sector in Jiangsu is still in its early stages, with only 1.2% of the total installed capacity being offshore wind, indicating substantial room for growth [44][49]. Market Dynamics - Jiangsu's energy supply-demand balance is tight, with a projected electricity demand growth of 8% in 2024, necessitating increased renewable energy generation [58][60]. - The report notes that Jiangsu's renewable energy generation is currently below the national average, highlighting the need for further development in offshore wind energy to meet demand [52][53]. Growth Catalysts - The anticipated injection of new offshore wind projects from Jiangsu Guoxin Group into Jiangsu Xinneng is expected to significantly enhance the company's earnings potential [8][10]. - The report also mentions the positive impact of government policies aimed at resolving payment delays for renewable energy projects, which could improve cash flow and operational efficiency [47][48].