Investment Rating - The report maintains a "Buy" rating for the company with a target price of 17.34 RMB [8] Core Insights - The company achieved a revenue of 3.765 billion RMB in 2024, representing a year-over-year increase of 6.45%, and a net profit of 820 million RMB, up 11.67% year-over-year [1] - The company is expanding its business in waste management, including exploring overseas opportunities, and is expected to maintain double-digit net profit growth from 2025 to 2027 with a high dividend payout ratio [1][4] - The company reported a significant increase in free cash flow, reaching 1.289 billion RMB in 2024, a 174% increase from 2023 [4] Summary by Sections Financial Performance - In 2024, the company generated operating cash flow of 1.908 billion RMB, with capital expenditures of 619 million RMB, leading to a free cash flow of 1.289 billion RMB [4] - The company’s revenue for 2025 is projected to be 4.128 billion RMB, with a net profit of 919 million RMB, reflecting a growth rate of 9.66% and 12.04% respectively [7] Operational Metrics - The company operates 14 waste incineration power generation projects with a total processing capacity of 32,090 tons per day, and the total amount of waste incinerated in 2024 was 9.2856 million tons, an increase of 11.8% year-over-year [2] - The steam supply to surrounding industrial enterprises reached 164,400 tons in 2024, marking a 21.2% increase year-over-year [3] Valuation and Comparables - The expected EPS for 2025 is 1.02 RMB, with a projected PE ratio of 17.0 times, leading to a target price of 17.34 RMB [5] - The average PE ratio for comparable companies in 2025 is estimated at 11.3 times, indicating the company's strong profitability potential [12]
永兴股份（601033）：经营数据提升，自由现金流高增