YEIC(SZ:002053) Guotai Junan Securities·2024-03-28 16:00Investment Rating - The report maintains a rating of "Buy" for Yunnan Energy Investment (002053) with a target price of 16.52 CNY, unchanged from the previous rating [8][9]. Core Views - The company's performance is driven by excellent profitability in the renewable energy sector and an increase in dividend payout ratio [8]. - The growth in installed capacity in renewable energy is expected to continue, supporting the company's performance [8]. - The company reported a revenue of 29.0 billion CNY in 2023, representing a year-on-year increase of 11.2%, with a net profit of 4.82 billion CNY, up 65.4% year-on-year [8][9]. Summary by Sections Financial Performance - Revenue for 2023 is projected at 29.0 billion CNY, with a year-on-year growth of 11.2% [8]. - Net profit for 2023 is expected to reach 4.82 billion CNY, reflecting a 65.4% increase compared to the previous year [8]. - The company plans to distribute a dividend of 0.16 CNY per share, which constitutes 30.6% of the net profit attributable to shareholders [8]. Growth Drivers - The renewable energy segment has shown significant growth, with net profit from this division increasing by 284% year-on-year [8]. - The total electricity generated by the company in 2023 is expected to be 20.3 billion kWh, a 127% increase year-on-year [8]. - The company has a robust project reserve, with an installed capacity of 1.6 GW as of the end of 2023, and plans for an additional 2.1 GW of approved capacity [8]. Future Projections - The report forecasts revenue growth to 40.10 billion CNY in 2024, with a projected net profit of 9.11 billion CNY, indicating a growth rate of 89% [8]. - Earnings per share (EPS) are expected to rise from 0.52 CNY in 2023 to 0.99 CNY in 2024 [8]. - The company is anticipated to maintain a high level of profitability with a return on equity (ROE) projected at 12.1% by 2024 [8].