Arcplus(SH:600629)2024-04-04 16:00Investment Rating - The report maintains a "Recommended" rating for the company [10]. Core Views - The company achieved steady growth in performance, benefiting from urban renewal projects. In 2023, the company reported operating revenue of 9.059 billion yuan, a year-on-year increase of 12.68%, and a net profit attributable to shareholders of 0.425 billion yuan, up 10.35% year-on-year [10]. - The company signed new contracts totaling 12.372 billion yuan in 2023, reflecting a year-on-year growth of 3.66%. The design consulting contracts amounted to 7.031 billion yuan, a decrease of 4.52%, while engineering contracting contracts reached 5.341 billion yuan, an increase of 16.83% [10]. - The gross profit margin slightly declined to 23.42%, down 0.46 percentage points from the previous year, while the net profit margin was 5.11%, a decrease of 0.41 percentage points [10]. Financial Summary - The company forecasts revenues of 9.884 billion yuan, 11.059 billion yuan, and 12.707 billion yuan for 2024, 2025, and 2026, respectively, representing year-on-year growth rates of 9.11%, 11.88%, and 14.90% [10]. - The net profit attributable to shareholders is projected to be 0.490 billion yuan, 0.553 billion yuan, and 0.625 billion yuan for the same years, with growth rates of 15.28%, 12.87%, and 13.06% [10]. - The earnings per share (EPS) are expected to be 0.50 yuan, 0.57 yuan, and 0.64 yuan, corresponding to price-to-earnings (PE) ratios of 10.61, 9.40, and 8.32 times [10].