XZCE(SZ:002534) Guotou Securities·2025-08-27 07:11Investment Rating - The investment rating for the company is "Buy-A" with a target price of 16.64 CNY for the next 12 months [6][11][18]. Core Views - The company is a leader in waste heat boilers and is positioned for long-term growth in both traditional and renewable energy sectors, including nuclear power and solid oxide fuel cells (SOFC) [2][3]. - The company has a strong order backlog, with total orders amounting to 61.19 billion CNY as of June 30, 2025, which supports future revenue growth [4][13]. - The company is expanding its international market presence, achieving 3.86 billion CNY in exports in the first half of 2025, a year-on-year increase of 48.79% [10]. Summary by Sections Financial Performance - In the first half of 2025, the company reported total revenue of 2.794 billion CNY, a decrease of 6.49% year-on-year, and a net profit of 148 million CNY, down 56.81% year-on-year [1]. - The company achieved a non-recurring net profit of 129 million CNY, an increase of 37.58% year-on-year [1]. Business Segments - The company operates in two main segments: traditional energy (waste heat boilers) and renewable energy (clean energy equipment and solutions) [2]. - Revenue from waste heat boilers was 530 million CNY, a decrease of 52.66%, while clean energy equipment revenue increased by 38.65% to 475 million CNY [4]. Order Backlog and Growth - The company secured new orders worth 2.784 billion CNY in the first half of 2025, with significant contributions from solutions and services [4]. - The company is transitioning from a single product manufacturer to a comprehensive energy solutions provider, enhancing its market position [2][13]. Future Projections - Revenue projections for 2025-2027 are 6.731 billion CNY, 7.726 billion CNY, and 8.766 billion CNY, with corresponding net profits of 453 million CNY, 510 million CNY, and 578 million CNY [11][12][18]. - The company anticipates a growth rate of 4.6% in 2025, followed by 14.8% in 2026 and 13.5% in 2027 [11][12]. Market Position and Competitiveness - The company is recognized as the largest and most comprehensive waste heat boiler manufacturer in China, with a leading market share [2][13]. - The company has established strategic partnerships with major players in the nuclear sector, enhancing its competitive edge [3].