Investment Rating - The report gives a "Buy" rating for the company, marking its first coverage [20]. Core Viewpoints - The company is a leading player in the photovoltaic (PV) industry, with steady growth in performance. It has been deeply involved in the PV module market for over a decade, expanding its business to include power stations, batteries, and brackets. The company's revenue and net profit have significantly increased from 2018 to 2022, with a CAGR of 41.25% and 159.64% respectively. However, in 2023, revenue is expected to decline by 35.5% due to a rapid drop in module prices, while net profit is projected to increase by 25.09% due to improved profit margins [21][40]. Summary by Sections 1. Company Overview - The company has been established since 2006, focusing on the research, production, processing, and sales of crystalline silicon solar PV modules, as well as the development, construction, and operation of solar power stations [26]. 2. Market Demand and Pricing - The global demand for PV is expected to grow steadily, with projections indicating that global installations could exceed 700GW by 2026. The price of silicon materials has decreased, leading to a significant drop in module prices, which are now around 0.9-1 RMB/W, nearly halving from their peak in 2022. This price drop enhances the economic viability of solar energy, stimulating further demand growth [22][30][77]. 3. Business Diversification - The company is expanding its integrated solar-storage layout and diversifying into new business areas such as wind energy, graphite electrodes, battery swapping, and hydrogen energy. This diversification aims to create new growth points for the company [23][88]. 4. Financial Projections - The company forecasts net profits of 1.48 billion RMB in 2023, 2.10 billion RMB in 2024, and 3.38 billion RMB in 2025, with corresponding year-on-year growth rates of 25%, 42%, and 61%. The price-to-earnings ratio is expected to be 14, 10, and 6 times for the respective years [20][23]. 5. Research and Development - The company has significantly increased its R&D investment, with expenditures rising from 36.45 million RMB in 2018 to 263.93 million RMB in 2022, maintaining a ratio of over 3% of revenue during this period [84]. 6. Competitive Positioning - The company has a strong market position, being recognized as a Tier 1 module manufacturer and actively participating in the development of advanced technologies such as TOPCon and HJT, which are expected to dominate the market in 2024 [26][49]. 7. Operational Efficiency - The company has demonstrated strong cost control, with a decrease in the expense ratio from 11.71% in 2018 to 3.68% in 2022, although it has seen a slight increase in 2023 due to declining module prices [65]. 8. Management Structure - The company's ownership is concentrated, with the main shareholders holding approximately 42.97% of the shares, ensuring a stable management structure [27].
光储一体化布局持续深化，新业务全面布局拓展新增长