Linyang Energy(SH:601222) Huachuang Securities·2025-04-30 06:14Investment Rating - The report maintains a "Recommendation" rating for the company, indicating an expectation to outperform the benchmark index by 10%-20% over the next six months [2][21]. Core Views - The company's performance is under pressure in the short term, but its deepening overseas layout is expected to contribute to incremental growth [2][3]. - The company has established a strong market presence in Poland, with an anticipated market share exceeding 30% in 2024, and is actively expanding in the Middle East [8][4]. - The company has a robust pipeline of energy storage projects, with cumulative deliveries and grid connections exceeding 4.5 GWh and project reserves over 10 GWh as of the end of 2024 [8][4]. Financial Summary - Total revenue for 2024 is projected at 67.42 billion, a year-on-year decrease of 1.89%, with a net profit of 7.53 billion, down 27.00% year-on-year [4][8]. - The company expects revenue growth of 14.3% in 2025, reaching 77.06 billion, and a net profit of 8.18 billion, reflecting an 8.6% increase [4][8]. - The earnings per share (EPS) is forecasted to increase from 0.37 yuan in 2024 to 0.40 yuan in 2025, with a price-to-earnings (P/E) ratio of 14 times for 2025 [4][8]. Market Position and Strategy - The company is collaborating with global leaders in metering technology to enhance its overseas market presence, particularly in Europe and the Middle East [8][4]. - The establishment of a new overseas base in Saudi Arabia, with a capacity of approximately 1 GWh, is expected to commence production within the year, further expanding its market reach [8][4]. - The report highlights the importance of operational efficiency and cost management, noting a 20% increase in operating expenses in 2024, which has impacted profitability [8][4].