Guoguang Electric (SH:688776) Soochow Securities·2025-04-27 08:10Investment Rating - The investment rating for Guoguang Electric (688776) is "Buy" (maintained) [1] Core Views - The company's revenue for 2024 is projected at 537 million yuan, a year-on-year decrease of 28.01%, with a net profit attributable to shareholders of 47.05 million yuan, down 47.93% year-on-year. The decline in performance is primarily due to delays in project contract signings caused by changes in technical requirements from the international ITER headquarters and delays in domestic nuclear fusion projects [1][7] - Despite the revenue decline, the company's operating cash flow showed positive performance, reaching 116 million yuan, a year-on-year increase of 36.79%. The R&D investment ratio increased to 6.82%, indicating a continued focus on technological innovation [7] - The company achieved significant technological advancements in both microwave devices and the nuclear industry, with products like traveling wave tubes and magnetrons showing improved performance and successful applications in satellite communications. The company also made strides in domestic production of key components for the nuclear industry, further solidifying its technological leadership [7] - Future growth is expected to come from expanding the microwave device and nuclear industry sectors, with plans to enhance product performance and market share in aerospace and nuclear power equipment. The company aims to increase R&D investment to improve technology and product quality [7] - Earnings forecasts for the company remain stable, with net profits projected at 123 million yuan for 2025 and 156 million yuan for 2026, corresponding to P/E ratios of 70 and 55, respectively. A new forecast for 2027 anticipates a net profit of 209 million yuan, with a P/E ratio of 41 [7][8]