Jangho(601886) CAITONG SECURITIES·2025-03-20 09:20Investment Rating - The investment rating for the company is "Accumulate" (maintained) [1] Core Views - The company's gross margin is under pressure, but cash flow has significantly improved, and overseas orders are growing rapidly [1] - The company reported a revenue of 22.406 billion yuan for 2024, a year-on-year increase of 6.93%, while the net profit attributable to shareholders decreased by 5.07% to 638 million yuan [6] - The company is transitioning to a "productization" strategy, focusing on the sale of customized photovoltaic components for developed countries, which is expected to optimize its business model and open up long-term growth opportunities [6] Financial Performance Summary - Revenue projections for 2025-2027 are 23.29 billion yuan, 24.10 billion yuan, and 24.58 billion yuan respectively, with net profits of 610 million yuan, 656 million yuan, and 698 million yuan [6][8] - The company’s sales gross margin for 2024 was 16.04%, a decrease of 1.13 percentage points, while the net profit margin was 2.85%, down 0.36 percentage points [6] - The operating cash flow for 2024 was 1.626 billion yuan, significantly higher than the previous year's 861 million yuan, indicating improved cash flow management [6] Order and Revenue Breakdown - The company secured new orders worth 270.49 billion yuan in the construction decoration sector, a year-on-year increase of 4.68%, with the curtain wall business contributing 172.05 billion yuan [6] - The overseas revenue reached 5.501 billion yuan, reflecting an 8.16% increase, with significant growth in orders from regions like Saudi Arabia and Dubai [6] Market Performance - The company's stock closed at 5.69 yuan on March 19, 2025, with a corresponding PE ratio of 10.57 for 2025 [1][6] - The company’s share price performance over the last 12 months showed a decline of 31%, compared to a decline of 21% for the CSI 300 index [3][4]