China XD(SH:601179) Soochow Securities·2025-04-16 11:09Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company's profitability continues to improve, with performance exceeding market expectations [2] - The transformer business has significantly improved, driven by increased revenue from UHV converter transformers and cost reductions [8] - The company has made market breakthroughs in converter valves and is expanding its international business [8] - Cash flow has improved significantly, with a notable increase in operating cash flow [8] - The report adjusts the profit forecast for 2025 and 2026 due to uncertainties in project construction and exchange rate fluctuations, but maintains a positive outlook on domestic grid construction and new product development [8] Financial Summary - Total revenue for 2023 is projected at 21,204 million yuan, with a year-on-year growth of 13.02% [1] - Net profit attributable to shareholders for 2023 is expected to be 897.17 million yuan, reflecting a year-on-year increase of 44.92% [1] - The latest diluted EPS for 2023 is estimated at 0.18 yuan per share [1] - The company's gross margin for 2024 is projected to be 20.8%, an increase of 2.9 percentage points [8] - The net profit margin for 2024 is expected to be 5.5%, up by 0.6 percentage points [8] - The company anticipates a net profit of 1,054 million yuan for 2024, a 17.5% increase year-on-year [1][8]