FII(SH:601138) Xinda Securities·2024-03-22 16:00Investment Rating - The investment rating for the company is "Buy" [2] Core Insights - The company is showcasing its advanced liquid cooling solutions, which position it as a leader in comprehensive data center services globally [3] - The company is expected to benefit significantly from the AI development trend, with a strong growth potential as cloud service providers increase their investments in AI-related infrastructure [3] - The projected net profits for the company are estimated to be 25.45 billion, 30.26 billion, and 33.28 billion for the years 2024, 2025, and 2026 respectively, reflecting year-on-year growth rates of 21%, 19%, and 10% [4] Financial Performance Summary - Total revenue for 2022 was 511.85 billion, with a decrease to 476.34 billion in 2023, and projected revenues of 521.37 billion, 596.74 billion, and 646.90 billion for 2024, 2025, and 2026 respectively [5] - The net profit attributable to the parent company was 20.07 billion in 2022, increasing to 21.04 billion in 2023, with projections of 25.45 billion, 30.26 billion, and 33.28 billion for the following years [5] - The gross profit margin is expected to improve from 8.1% in 2023 to 8.7% by 2026 [5] - The company's earnings per share (EPS) are projected to rise from 1.06 in 2023 to 1.68 by 2026 [5] Market Position and Future Outlook - The company is positioned as a core player in the computing power industry chain, with a significant share of its revenue coming from cloud computing and AI server businesses [3][4] - The company’s cloud computing segment generated revenue of 194.31 billion in 2023, accounting for over 40% of total revenue, with AI server business contributing approximately 30% of cloud computing revenue [3]