CSEC,China Shenhua(601088) 申万宏源·2025-03-26 03:19Investment Rating - The report maintains a "Buy" rating for the company, indicating a strong investment opportunity due to its integrated operations and high dividend yield [6][7][21]. Core Insights - The company reported a revenue of 338.375 billion yuan for 2024, a decrease of 1.37% year-on-year, and a net profit of 58.671 billion yuan, down 1.71% year-on-year. The basic earnings per share (EPS) is 2.95 yuan [6][7]. - The company plans to distribute a cash dividend of 2.26 yuan per share, totaling 44.903 billion yuan, which reflects a dividend payout ratio of approximately 76.5% [6][21]. - The coal production volume increased by 0.8% to 327.1 million tons, while the average selling price decreased by 3.8% to 527 yuan per ton, leading to a decline in gross margin [6][10][15]. - The power generation segment saw a 5.2% increase in generation volume to 223.21 billion kWh, with a revenue increase of 2.0% to 94.217 billion yuan [15][16]. Financial Summary - Total revenue projections for the next three years are as follows: 335.2 billion yuan in 2025, 340.1 billion yuan in 2026, and 343.723 billion yuan in 2027, indicating a slight recovery in growth [2][23]. - The company's gross margin for coal operations was reported at 30.3%, down 2 percentage points year-on-year, while the power generation segment's gross margin decreased to 16.3% [7][9]. - The company holds a substantial cash position of 152.842 billion yuan as of the end of 2024, providing a solid financial foundation for future investments [17][21]. Business Segment Performance - The coal segment generated revenue of 268.618 billion yuan, a decline of 1.7% year-on-year, while the power generation segment's revenue was 94.217 billion yuan, reflecting a 2.0% increase [6][7][15]. - The transportation segment, including rail, port, and shipping, recorded a combined revenue of 54.953 billion yuan, showing a growth of 0.75% [8][9]. - The coal chemical segment contributed 5.633 billion yuan in revenue, with a gross margin of 5.8%, down 5.4 percentage points year-on-year due to maintenance activities [8][9].