Orient Securities·2025-08-13 01:56Investment Rating - The report maintains a "Buy" rating for the company [5] Core Views - The outlook for the engineering machinery industry is expected to continue, with the company's traditional flagship products anticipated to see an increase in demand, while emerging products are gaining competitiveness and maintaining rapid growth [3][17] - The company is projected to achieve a net profit attributable to shareholders of 4.89 billion, 5.58 billion, and 6.39 billion yuan for the years 2025, 2026, and 2027 respectively, with a target price of 9.12 yuan based on a 16x PE ratio for 2025 [3][17] Financial Performance Summary - Revenue is forecasted to be 50.76 billion, 58.47 billion, and 67.36 billion yuan for 2025, 2026, and 2027, reflecting growth rates of 11.6%, 15.2%, and 15.2% respectively [4] - Operating profit is expected to reach 5.75 billion, 6.57 billion, and 7.54 billion yuan for the years 2025, 2026, and 2027, with growth rates of 32.9%, 14.3%, and 14.7% respectively [4] - The net profit attributable to the parent company is projected to grow by 38.9%, 14.1%, and 14.6% for the years 2025, 2026, and 2027, reaching 4.89 billion, 5.58 billion, and 6.39 billion yuan [4] - Earnings per share are expected to be 0.57, 0.64, and 0.74 yuan for 2025, 2026, and 2027 respectively [4] Industry Outlook - The engineering machinery industry is showing signs of stabilization after a period of decline, with domestic demand expected to be supported by ongoing large-scale infrastructure projects and the transition to electric machinery [9][10] - The company's traditional products, including lifting and concrete machinery, are expected to see a gradual increase in demand as construction activities ramp up [9][14] - Emerging products such as earth-moving machinery and high-altitude work machinery are experiencing rapid growth, with the company improving its competitive position in these segments [15][17]