SGC(SH:603269) Xinda Securities·2025-09-01 09:45Investment Rating - The report does not specify an explicit investment rating for the company [1] Core Views - The company is recognized as a leading manufacturer of cooling towers in China, with a strong order backlog of 3.376 billion yuan, which supports its revenue growth [2] - The company reported a total revenue of 775 million yuan in H1 2025, representing a year-on-year increase of 19.99%, and a net profit attributable to shareholders of 35 million yuan, up 25.31% year-on-year [1][2] - The gross profit margin improved to 27.4%, an increase of 2.01 percentage points year-on-year, while the net profit margin rose to 4.74%, up 0.29 percentage points year-on-year, indicating steady improvement in profitability [2] - The company has diversified its business and optimized its industrial chain layout, which is expected to enhance its market position [2] Financial Summary - For the fiscal years 2025 to 2027, the company is projected to achieve revenues of 1.62 billion yuan, 1.858 billion yuan, and 2.101 billion yuan, with growth rates of 1.3%, 14.7%, and 13.1% respectively [3] - The net profit attributable to shareholders is forecasted to be 129 million yuan, 147 million yuan, and 165 million yuan for the same period, with growth rates of 34.2%, 14.3%, and 11.9% respectively [3] - The company's gross margin is expected to stabilize around 28.6% from 2025 to 2027, while the return on equity (ROE) is projected to increase from 12.3% in 2025 to 13.4% in 2027 [3]