ORIENT CABLE (NBO)(SH:603606) Guoxin Securities·2026-03-02 14:33Investment Rating - The investment rating for Dongfang Cable is "Outperform the Market" (maintained) [1][5] Core Viewpoints - The Philippine Department of Energy has initiated the fifth round of the Green Energy Auction (GEA-5), focusing on a 3.3GW offshore wind power capacity, expected to commence commercial operations between 2028 and 2030. This project marks the Philippines' first large-scale commercial offshore wind project, establishing a "whole government collaboration" model to streamline approvals and accelerate infrastructure development [2][4]. - The clear demand for 3.3GW in the Philippines presents a significant overseas market opportunity for Chinese companies with mature offshore wind technology. The capital-intensive nature of offshore wind projects allows leading state-owned and private enterprises in China to leverage their strong integrated capabilities through a "technology + capital + construction" approach [2][8]. - As a leading company in the domestic submarine cable sector, Dongfang Cable is expected to benefit from the expansion of offshore wind projects in the Asia-Pacific market, further advancing its internationalization strategy. The company has secured a total bid amount of approximately 1.9 billion yuan for an EPCI project related to high-voltage submarine cables and construction in the Asian region, expected to contribute to its performance growth during the 14th Five-Year Plan period [2][8]. - The profit forecasts for Dongfang Cable for 2025-2027 are set at 1.56 billion, 2.02 billion, and 2.37 billion yuan, representing year-on-year growth of 54.8%, 29.4%, and 17.4%, respectively, with corresponding P/E ratios of 26.1, 20.2, and 17.2x [2][8]. Summary by Relevant Sections Project Initiation and Market Opportunity - The Philippine energy department's announcement on March 2, 2023, marks the start of the GEA-5, with a focus on 3.3GW of offshore wind capacity, aiming for commercial operation by 2028-2030. This initiative is significant for domestic wind power companies [2][4][6]. Financial Projections - Dongfang Cable's financial projections indicate substantial growth, with expected profits of 1.56 billion yuan in 2025, 2.02 billion yuan in 2026, and 2.37 billion yuan in 2027, reflecting a strong upward trend in profitability [2][8][11].