COSL(SH:601808) Southwest Securities·2024-03-26 16:00Investment Rating - The investment rating for the company is "Buy" (maintained) with a current price of 16.14 CNY and a target price not specified for the next 6 months [1]. Core Views - The report highlights the sustained high demand in the offshore oil and gas sector, leading to rapid business growth for the company [2]. - In 2023, the company achieved a revenue of 44.11 billion CNY, representing a year-on-year growth of 23.7% [2]. - The net profit attributable to the parent company reached 3.01 billion CNY, a significant increase of 154.3% year-on-year [2]. - The report anticipates continued growth in the offshore oil service industry, driven by high oil prices and increased capital expenditures [3][5]. Summary by Sections Financial Performance - In 2023, the company reported revenues of 44.11 billion CNY, with a year-on-year growth of 23.7% [2]. - The net profit attributable to the parent company was 3.01 billion CNY, reflecting a year-on-year increase of 154.3% [2]. - The company’s gross margin improved significantly, with a gross margin of 15.9%, up 5.7 percentage points year-on-year [2]. Market Expansion - The company successfully expanded its domestic and international markets, with drilling platform utilization rates stabilizing [2]. - Revenue from domestic and international markets reached 34.64 billion CNY and 9.47 billion CNY, respectively, with year-on-year growth of 17.9% and 50.9% [2]. Profitability Forecast - The report projects that the company’s net profit attributable to the parent company will reach 4.00 billion CNY, 5.03 billion CNY, and 5.63 billion CNY for the years 2024, 2025, and 2026, respectively [5]. - The expected compound annual growth rate (CAGR) for net profit over the next three years is 23.2% [5]. Valuation - The report suggests that the company is well-positioned to benefit from the high oil and gas industry demand, maintaining a "Buy" rating [5]. - The estimated price-to-earnings (PE) ratios for the years 2024, 2025, and 2026 are projected to be 19, 15, and 14, respectively [5].