XCMG(SZ:000425) Changjiang Securities·2025-04-09 04:41Investment Rating - The investment rating for the company is "Buy" and is maintained [9] Core Views - The company announced a share repurchase plan with a total amount ranging from RMB 1.8 billion to 3.6 billion, aimed at implementing equity incentives or employee stock ownership plans, reflecting confidence in future development and recognition of company value [2][6] - The traditional segments of the company, including lifting machinery, excavators, and concrete machinery, are expected to benefit from the upward cycle of the industry, while the emerging segment of mining machinery has significant growth potential [2][12] - The company is continuously advancing its internationalization strategy, having established a four-pronged international development model that includes export trade, overseas greenfield factories, cross-border mergers and acquisitions, and global R&D, which is expected to steadily increase its market share overseas [2][12] Summary by Sections Share Repurchase - The company plans to repurchase shares at a price not exceeding RMB 13 per share, with a total repurchase amount between RMB 1.8 billion and 3.6 billion, which is expected to enhance the motivation and cohesion of core employees [6][12] Domestic Market Performance - In March, the domestic excavator industry saw a year-on-year increase in sales of 28.5%, indicating robust growth despite a high base last year. The sales of concrete mixing transport vehicles also increased by 25.82% year-on-year, benefiting from the rise in new energy penetration [12] Market Position - The company holds leading positions in multiple categories within the engineering machinery sector, including being the top in 16 categories domestically and maintaining a strong global presence in several others. This positions the company to fully benefit from the industry's upward cycle [12][12] International Expansion - The company is actively pursuing international expansion, with a focus on enhancing its overseas presence and market share, which is expected to contribute positively to its performance in the coming years [12][12] Financial Projections - The company is projected to achieve a net profit attributable to shareholders of RMB 6.187 billion in 2024 and RMB 8.313 billion in 2025, with corresponding price-to-earnings ratios of 15 times and 12 times, respectively [12]