SINOLINK SECURITIES·2026-03-29 05:45Investment Rating - The report maintains a "Buy" rating for the company, anticipating a price increase of over 15% in the next 6-12 months [5]. Core Insights - The company achieved a revenue of 73 billion yuan in 2025, representing a year-on-year growth of 28.8%, and a net profit attributable to shareholders of 2.77 billion yuan, up 49.1% year-on-year [2]. - Wind turbine sales continued to grow significantly, with sales revenue from wind turbines and components reaching 57.2 billion yuan, a 47% increase year-on-year, and external sales of units reaching 26.6 GW, up 65.9% [3]. - The company’s gross margin for wind turbines and components improved to 8.95%, an increase of 3.90 percentage points year-on-year, with expectations for continued profitability growth due to rising domestic bidding prices [3]. - The company’s operating quality improved significantly, with a reduction in sales, management, and R&D expense ratios by a total of approximately 1.99 percentage points [4]. - The company is projected to achieve net profits of 5.19 billion yuan, 6.58 billion yuan, and 8.22 billion yuan for the years 2026 to 2028, corresponding to P/E ratios of 22, 18, and 14 [5]. Summary by Sections Performance Review - In Q4 2025, the company reported revenues of 24.9 billion yuan, a 19.3% year-on-year increase, and a net profit of 190 million yuan, up 178% year-on-year, despite a significant asset impairment of approximately 1 billion yuan due to policy changes [2]. Operational Analysis - The company’s backlog of external orders reached a record high of 50.5 GW by the end of 2025, a 12% increase year-on-year, with international orders growing by 31.8% to 9.27 GW [3]. - The overseas revenue for 2025 was 18.1 billion yuan, a 50.6% increase year-on-year, accounting for 24.8% of total revenue, with an overseas gross margin of 24.3%, up 10.5 percentage points [3]. Cost Efficiency - The company’s expense ratios improved significantly, with sales, management, and R&D expense ratios decreasing by 0.28, 0.76, and 0.95 percentage points respectively [4]. - Inventory turnover days decreased by 20 days to 91 days, and accounts receivable turnover days decreased by 23 days to 156 days in 2025 [4].