JFL(SH:600901) Huachuang Securities·2025-08-25 13:29Investment Rating - The report assigns a "Buy" rating for Jiangsu Jinzu (600901) with a target price of 7.18 CNY, compared to the current price of 5.77 CNY [3][11]. Core Insights - Jiangsu Jinzu is positioned as a unique player in the A-share market, focusing on a "retail + technology" dual-leading strategy, and advancing through "manufacturer + regional" dual channels to effectively serve small and micro enterprises [2][12]. - The company benefits from a declining financing cost due to favorable monetary policies, enhancing its core profitability [2][11]. - The net interest margin has improved from 2.75% in 2019 to 3.95% in the first half of 2025, showcasing strong profitability resilience [2][11]. Summary by Sections Company Overview - Jiangsu Jinzu is the only listed financial leasing company in A-shares, controlled by the Jiangsu Provincial State-owned Assets Supervision and Administration Commission [7][25]. - The company was established in 1985 and became a joint-stock company in 2014, listing on the Shanghai Stock Exchange in 2018 [7][25]. Business Model - The core business model combines "manufacturer leasing + regional direct sales," which allows for effective risk management and customer acquisition [34][37]. - The company has established deep partnerships with manufacturers, enhancing its ability to serve small and micro clients [34][37]. Financial Performance - For 2024, the company expects total revenue of 5,278.11 million CNY, with a year-on-year growth of 10.3%, and a net profit of 2,942.74 million CNY, also reflecting a 10.6% increase [9]. - The company achieved a total revenue of 30.1 billion CNY in the first half of 2025, marking a 14.9% year-on-year growth [41]. Asset Quality - As of the first half of 2025, the total asset scale reached 1,568 billion CNY, a year-on-year increase of 17.9%, with net assets growing by 31.9% [51][52]. - The financing leasing asset balance increased by 15.9% year-on-year, indicating robust growth despite a slight decline in asset yield [54]. Profitability and Returns - The company maintains a low non-performing loan ratio below 1%, demonstrating superior asset quality compared to many banks [8]. - Jiangsu Jinzu has a high return on equity (ROE) and a consistent cash dividend policy, with a projected dividend yield of 4.68% for 2024 [8][11].