Donghai Securities·2024-04-01 16:00Investment Rating - The investment rating for the company is "Buy" (maintained) [2] Core Views - The company achieved a revenue of 44.109 billion yuan in 2023, representing a year-on-year increase of 23.7%. The net profit attributable to shareholders was 3.013 billion yuan, up 27.8% year-on-year [7] - The company plans to distribute a cash dividend of 0.21 yuan per share, with a payout ratio of 33.25% [7] - The drilling business is recovering due to sustained global upstream capital expenditure, with the parent company, CNOOC, expected to spend 125-135 billion yuan in 2024 [7] - The oil technology segment has shown high growth potential, contributing 58.39% to total revenue in 2023, with a year-on-year revenue increase of 31.4% [7] - The company has optimized its overseas market strategy, achieving a 50.9% year-on-year increase in international market revenue [7] - The earnings forecast has been revised upward, with expected revenues of 49.911 billion yuan, 53.266 billion yuan, and 59.490 billion yuan for 2024, 2025, and 2026 respectively [7] Summary by Sections Financial Performance - In 2023, the company reported a net cash flow from operating activities of 13.096 billion yuan, a significant increase of 89.8% year-on-year [7] - The basic earnings per share (EPS) for 2023 was 0.63 yuan, with projections of 0.87 yuan, 1.07 yuan, and 1.24 yuan for 2024, 2025, and 2026 respectively [8] Market Position - The domestic market accounted for 78.5% of total revenue in 2023, with a year-on-year growth of 17.9% [7] - The company secured new overseas contracts totaling approximately 4.2 billion USD in 2023, marking a 19.3% increase year-on-year [7] Future Outlook - The company is expected to maintain high-quality growth with a projected net profit of 4.154 billion yuan, 5.114 billion yuan, and 5.933 billion yuan for 2024, 2025, and 2026 respectively [7] - The price-to-earnings (PE) ratio is projected to decrease from 22.17 in 2024 to 15.52 in 2026, indicating potential for value appreciation [8]