SCTE(SH:600674) Shenwan Hongyuan Securities·2025-04-13 13:14Investment Rating - The report maintains a "Buy" rating for the company [2] Core Views - The company reported a total revenue of 1.609 billion yuan in 2024, a year-on-year increase of 8.5%, and a net profit attributable to shareholders of 4.508 billion yuan, up 2.5% year-on-year. In Q1 2025, the company achieved a revenue of 364 million yuan, a significant year-on-year growth of 41.2%, with a net profit of 1.479 billion yuan, reflecting a 16.2% increase year-on-year [7] - The company experienced a significant improvement in profitability from its controlled hydropower projects in Q1 2025, driven by favorable water conditions and increased electricity prices. The hydropower generation reached 5.821 billion kWh in 2024, a growth of 11.27% year-on-year, with a notable increase in electricity prices [7] - The company’s financial expenses decreased to 456 million yuan in 2024, down by 159 million yuan year-on-year, contributing positively to its overall performance [7] Financial Summary - The company’s total revenue is projected to reach 1.944 billion yuan in 2025, with a year-on-year growth rate of 20.8%. The net profit attributable to shareholders is expected to be 5.273 billion yuan, reflecting a growth of 17.0% [6][9] - The gross profit margin is forecasted to be 52.6% in 2025, with a return on equity (ROE) of 11.6% [6][9] - The company plans to continue its investment in hydropower projects, with several key projects expected to commence operations in 2025, further enhancing its revenue and profit potential [7]