ORIENT CABLE (NBO)(603606) CMS·2025-04-28 07:35Investment Rating - The report maintains an "Accumulate" rating for the company [3] Core Views - The company achieved a revenue of 9.093 billion yuan and a net profit of 1.008 billion yuan in 2024, representing a year-on-year increase of 24.38% and 0.81% respectively [7][14] - In Q1 2025, the company reported a revenue of 2.147 billion yuan, a significant year-on-year growth of 63.83% [7][9] - The company has seen a strong growth in land cable business and a record high in submarine cable orders, indicating robust demand in the market [14][15] Financial Data and Valuation - Total revenue is projected to grow from 7.310 billion yuan in 2023 to 11.955 billion yuan in 2025E, with a CAGR of 31% [2][38] - The net profit is expected to increase from 1.000 billion yuan in 2023 to 1.656 billion yuan in 2025E, reflecting a growth rate of 64% [2][38] - The company's PE ratio is forecasted to decrease from 34.9 in 2023 to 21.1 in 2025E, indicating improved valuation metrics [2][38] Business Performance - The land cable system revenue reached 5.416 billion yuan in 2024, a year-on-year increase of 41.52%, contributing 59.57% to total revenue [22] - The submarine cable system revenue was 2.778 billion yuan in 2024, with a slight increase of 0.41% year-on-year [14] - The company has a strong order backlog, with approximately 8.827 billion yuan in submarine cable orders as of March 21, 2025, marking a year-on-year increase of about 180% [15][16] Market Outlook - The domestic market for offshore wind power still has significant room for growth, with expectations of a surge in installations in the near term [15] - The company is well-positioned to benefit from the increasing demand for offshore wind projects, with a comprehensive solution for marine engineering [16][22] - The company plans to enhance its product offerings in high-grade land cables, which could improve profit margins in the future [22]