AECC AP(SH:600893) CMS·2025-08-28 03:05Investment Rating - The report maintains a "Strong Buy" rating for the company [4]. Core Views - The company's revenue for the first half of 2025 was 14.098 billion yuan, a year-on-year decrease of 23.99%, primarily due to changes in customer demand and delivery not meeting expectations. The net profit attributable to shareholders was 92 million yuan, down 84.57% year-on-year [1]. - For 2025, the company aims to achieve a revenue of 47.663 billion yuan, which is roughly flat compared to the actual revenue in 2024, with expected net profit of 592 million yuan, a decrease of 31.16% from 2024 [2]. - The report highlights that the adjustment in delivery pace has put pressure on performance, while the revenue of Liyang Company has shown rapid growth [1]. Financial Performance - The company's gross margin for the first half of 2025 was 10.96%, a decrease of 0.31 percentage points year-on-year. The period expense ratio increased by 2.01 percentage points to 9.13% [1]. - The company reported a significant increase in financial expenses, which rose by 71.12% to 256 million yuan due to an expansion in interest-bearing liabilities [1]. - The company's total revenue is projected to grow at a modest rate, with expected revenues of 48.651 billion yuan in 2025, 53.780 billion yuan in 2026, and 59.328 billion yuan in 2027, reflecting growth rates of 2%, 11%, and 10% respectively [8][14]. Business Expansion - The company's contract liabilities at the end of the reporting period were 6.254 billion yuan, an increase of 39.42% compared to the end of the previous year. Accounts receivable rose to 38.377 billion yuan, up 7.4% [1]. - The report indicates that the company is expected to increase its procurement from related parties to 13.5 billion yuan in 2025, a growth of 23.0% compared to 2024 [1]. Profit Forecast - The forecast for net profit attributable to shareholders is 662 million yuan for 2025, 884 million yuan for 2026, and 1.225 billion yuan for 2027, corresponding to price-to-earnings ratios of 160, 120, and 86 respectively [1][8].