CIMC(SZ:000039) Changjiang Securities·2024-04-01 16:00Investment Rating - The investment rating for the company is "Buy" and is maintained [5]. Core Views - The company's performance in 2023 was under pressure due to cyclical fluctuations in the container industry, but a recovery in demand is expected in 2024 [6][7]. - The container manufacturing business saw a revenue decline of 33.90% year-on-year, while the marine engineering business improved significantly with an 81.12% increase in revenue [6][7]. - The strategic planning until 2027 focuses on high-quality development, balancing growth and quality, and enhancing innovation capabilities [7]. Summary by Sections Financial Performance - In 2023, the company achieved total revenue of 127.81 billion yuan, a decrease of 9.7% year-on-year, and a net profit attributable to shareholders of 0.42 billion yuan, down 86.9% [6]. - The fourth quarter of 2023 saw total revenue of 32.69 billion yuan, a slight increase of 0.9% year-on-year, but a net loss of 0.74 billion yuan was recorded [6]. Container Business - The container manufacturing segment generated revenue of 30.21 billion yuan in 2023, a decline of 33.90%, with a net profit of 1.79 billion yuan, down 65.88% [6]. - Forecasts indicate that global container trade mileage growth will increase from 1.9% in 2023 to 8.3% in 2024, suggesting a recovery in demand for containers [6][7]. Marine Engineering Business - The marine engineering segment reported revenue of 10.45 billion yuan in 2023, an increase of 81.12%, with a reduced net loss of 0.03 billion yuan compared to a loss of 0.33 billion yuan in the previous year [7]. - The company has expanded its marine engineering focus from traditional oil and gas to renewable energy, with new orders signed amounting to 1.63 billion USD in 2023 [7]. Strategic Outlook - The company aims to solidify its leading position in core businesses while exploring new strategic emerging sectors [7]. - The forecast for net profit attributable to shareholders is 2.89 billion yuan in 2024 and 4.39 billion yuan in 2025, with corresponding price-to-earnings ratios of 17.8 and 11.8 times [7].