Investment Rating - The report adjusts the investment rating to "Accumulate" based on the company's performance and future prospects [4][6]. Core Views - The company achieved operating revenue of 2.4147 billion yuan in 2023, a year-on-year decrease of 10.51%, while the net profit attributable to shareholders increased by 29.03% to 218 million yuan [1]. - Despite a decline in revenue, the company maintained good profit growth, driven by improved gross margins in its main business areas and reduced impairment losses [1][2]. - The company is expected to benefit from ongoing demand for equipment upgrades and the construction of grain storage facilities, indicating strong medium to long-term investment value [1][4]. Summary by Sections Financial Performance - In 2023, the company reported a gross margin of 24.7%, an increase of 4.0 percentage points year-on-year, with a further improvement to 26.7% in Q1 2024 [3]. - The net cash flow from operations significantly improved, reaching 433 million yuan in 2023, an increase of 301 million yuan year-on-year [3][11]. - The company’s new orders totaled 3.965 billion yuan in 2023, a slight increase of 0.53% year-on-year, with notable performance in the electromechanical engineering and design consulting sectors [2]. Revenue and Profitability Forecast - The forecast for net profit attributable to shareholders for 2024-2026 is 270 million yuan, 320 million yuan, and 380 million yuan, respectively, reflecting growth rates of 23%, 19%, and 19% [4][5]. - The company’s earnings per share (EPS) is projected to increase from 0.42 yuan in 2023 to 0.74 yuan in 2026 [5][20]. Valuation Metrics - The company’s price-to-earnings (P/E) ratio is expected to decrease from 25.25 in 2023 to 14.46 in 2026, indicating potential for valuation improvement [5][20]. - The price-to-book (P/B) ratio is projected to decline from 2.77 in 2023 to 2.10 in 2026, suggesting a more attractive valuation over time [5][20].
盈利能力快速提升，现金流明显改善