JIN LEI(SZ:300443) Huaxin Securities·2025-03-31 08:23Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [6]. Core Insights - The wind power industry is expected to return to healthy competition, which will drive the company's profit recovery [4]. - The company reported a revenue of 1.967 billion yuan in 2024, a year-on-year increase of 1.11%, but the net profit attributable to shareholders fell by 58.03% to 173 million yuan [3]. - The company's wind power casting business saw significant growth, with a 120% year-on-year increase in delivery volume and a revenue of 277 million yuan, up 71% [5]. Summary by Sections Financial Performance - In 2024, the company achieved a revenue of 19.67 billion yuan, with the wind power sector contributing 14.39 billion yuan, down 11.06% year-on-year, and a gross margin of 19.32%, down 14.18 percentage points [4]. - The casting and forging sector generated 4.09 billion yuan in revenue, marking a 48.01% increase, with a gross margin of 29.76%, down 6.99 percentage points [4]. Future Projections - Revenue forecasts for 2025, 2026, and 2027 are 28.16 billion yuan, 33.60 billion yuan, and 38.51 billion yuan, respectively, with corresponding EPS of 1.17 yuan, 1.57 yuan, and 1.91 yuan [6][9]. - The company is expected to benefit from a stabilization in bidding prices for wind turbine components, which should aid in profit recovery [4]. Market Dynamics - The report highlights that the main challenges for the company include intensified competition in the wind power sector and a decline in product prices, particularly for castings [4]. - A self-regulatory agreement signed by 12 wind turbine manufacturers aims to address issues of unfair competition, which could positively impact component manufacturers [4].