DHI(SZ:002487) SINOLINK SECURITIES·2025-06-18 03:17Investment Rating - The report initiates coverage with a "Buy" rating for the company, setting a target price of 40.85 RMB based on a 20x PE for 2026 [4]. Core Views - The company is expected to benefit significantly from the recovery of European offshore wind demand, with a projected doubling of order volume in 2025 compared to the previous year, driven by upcoming project deadlines and favorable market conditions [2][3]. - The company has achieved a market share of approximately 20% in the European monopile market, second only to local leader Sif, and is anticipated to continue increasing its market share due to capacity expansion and green manufacturing initiatives [3][42]. - The company’s revenue and profit forecasts for 2025-2027 indicate substantial growth, with revenues expected to reach 58 billion RMB in 2025, 73 billion RMB in 2026, and 95 billion RMB in 2027, alongside net profits of 960 million RMB, 1.3 billion RMB, and 1.83 billion RMB respectively [4][7]. Summary by Sections European Offshore Wind Market Outlook - The European offshore wind market is experiencing a recovery in project profitability due to declining interest rates and favorable policy adjustments, with a projected installation capacity of approximately 52 GW from 2025 to 2030 [2][13]. - The report estimates that the company could secure between 290,000 to 440,000 tons of monopile orders in 2025 under various market share scenarios [3][64]. Company’s Competitive Position - The company is the only domestic firm to have delivered multiple monopile projects in Europe, achieving a market share of around 20% from 2022 to 2024 [42][46]. - The company’s new production capacity at the Tangshan Caofeidian base is expected to reach 800,000 tons per year, enhancing its ability to meet the large-scale demands of European projects [3][50]. Profitability and Revenue Growth - The company’s revenue is projected to grow significantly, with a forecasted increase of 54% in 2025, followed by 26% and 29% in the subsequent years [4][7]. - The overseas revenue contribution is expected to rise, with a notable increase in profit margins from high-value offshore wind orders [65][70]. Additional Business Developments - The company is actively developing its own marine transport vessels to enhance service value and efficiency in delivering offshore wind products [78]. - The company has secured several renewable energy project indicators, with ongoing projects expected to contribute additional revenue starting in 2025 [80].