WEIMING(SH:603568) GOLDEN SUN SECURITIES·2025-04-19 13:40Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for its stock performance in the coming months [6]. Core Views - The company is experiencing rapid revenue and profit growth, with projected revenue of 7.17 billion yuan in 2024, representing a year-over-year increase of 19.0%, and a net profit of 2.70 billion yuan, up 32.0% year-over-year [1]. - The company has a strong pipeline of waste incineration projects that will support steady growth, with 55 operational projects by the end of the reporting period, totaling an operational scale of approximately 37,300 tons per day [3]. - The company is making significant progress in its new energy materials business, with key projects in production, which are expected to contribute to profit growth [4]. Summary by Sections Financial Performance - In 2024, the company achieved a gross margin of 51.8%, an increase of 4.2 percentage points year-over-year, and a net profit margin of 38.8%, also up by 4.2 percentage points year-over-year [2]. - The management expense ratio decreased to 3.5%, while the financial expense ratio also saw a decline to 3.5%, indicating improved cost control [2]. - The company reported a net operating cash flow of 2.43 billion yuan in 2024, reflecting a year-over-year increase of 4.7% [2]. Project Pipeline and Growth Potential - The company has a robust project pipeline in waste incineration, with several projects entering operation or trial phases, ensuring a steady revenue stream [3]. - The equipment manufacturing segment is expanding, with new orders totaling approximately 3.17 billion yuan expected to contribute to revenue growth [3]. - The new energy materials segment is progressing well, with significant projects in production that are anticipated to enhance profitability [4]. Future Projections - The company is expected to achieve net profits of 3.34 billion yuan, 3.88 billion yuan, and 4.39 billion yuan for the years 2025, 2026, and 2027, respectively, with corresponding earnings per share (EPS) of 2.0 yuan, 2.3 yuan, and 2.6 yuan [4]. - The projected price-to-earnings (P/E) ratios for 2025, 2026, and 2027 are 10.0X, 8.6X, and 7.6X, respectively, indicating a favorable valuation outlook [4].