STEC(SH:600820) Tianfeng Securities·2025-08-28 09:41Investment Rating - The report maintains a "Buy" rating for the company with a target price not specified [7][18] Core Views - The company experienced a revenue of 22.02 billion, a year-on-year decrease of 21.5%, and a net profit attributable to shareholders of 0.73 billion, down 7.4% year-on-year. However, the non-recurring net profit slightly increased by 0.2% year-on-year [1] - The company is focusing on digital transformation by launching a traffic big model solution, integrating data and advanced algorithms to provide value-added services in the transportation sector [1][2] - The company reported a cash dividend of 0.25 billion, with a dividend payout ratio of 38% [1] Financial Performance - In the first half of 2025, the company achieved a gross margin of 15.4%, an increase of 0.45 percentage points year-on-year, while the net profit margin was 3.31%, up 0.29 percentage points year-on-year [4] - The company’s new signed orders reached 46.2 billion, a slight increase of 0.18% year-on-year, with significant growth in road engineering and other engineering sectors [3][4] Segment Performance - By industry, the construction, design services, infrastructure operation, and digital information businesses reported revenues of 18.56 billion, 0.53 billion, 1.52 billion, and 0.15 billion respectively, with varying year-on-year growth rates [2] - Regionally, the company saw rapid growth in Fujian, Jiangsu, Yunnan, and Sichuan, with year-on-year increases of 62%, 99%, 62%, and 57% respectively [2] Future Projections - The projected net profit attributable to shareholders for 2025, 2026, and 2027 is expected to be 3.1 billion, 3.37 billion, and 3.71 billion respectively, with corresponding PE ratios of 6.5, 5.9, and 5.4 times [1][6]