CCCCDC(SH:600720) Huachuang Securities·2024-03-30 16:00Investment Rating - The report maintains a "Recommended" rating for the company, indicating an expectation to outperform the benchmark index by 10%-20% over the next six months [2][6]. Core Viewpoints - The company completed its restructuring in December 2023, enhancing its profitability and optimizing its revenue structure. In 2023, it achieved a revenue of 13.511 billion yuan, a year-on-year increase of 2.16%, and a net profit attributable to shareholders of 1.766 billion yuan, up 4.18% year-on-year [2][3]. - The company has improved its asset-liability ratio significantly, which decreased by 11.32 percentage points to 53.45%. However, its cash collection ability has declined, with operating cash flow net amounting to 10.15 million yuan, down 99.58% year-on-year [3]. - The company is focusing on multi-business collaboration and actively expanding its overseas operations, signing 59 new overseas projects in 2023, with a contract value growth of over 20% year-on-year [3]. Financial Summary - In 2023, the company reported total revenue of 13.511 billion yuan, with a year-on-year growth rate of 2.16%. The net profit attributable to shareholders was 1.766 billion yuan, reflecting a growth of 4.18% [4]. - The company's gross profit margin improved to 27.17%, an increase of 0.95 percentage points year-on-year, while the net profit margin rose to 13.07%, up 0.25 percentage points [3]. - The forecast for 2024 estimates earnings per share (EPS) at 0.92 yuan, with projected PE ratios of 11x for 2024, 10x for 2025, and 9x for 2026, leading to a target price of 11.04 yuan [3][4].