CSCEC(SH:601668) Haitong Securities·2024-04-23 01:01Investment Rating - The investment rating for the company is "Outperform the Market" and is maintained [2] Core Views - The company achieved a revenue of 2,265.53 billion yuan in 2023, representing a year-on-year increase of 10.24%. The net profit attributable to the parent company was 54.26 billion yuan, up 6.50% year-on-year [6] - The company has shown steady growth across all business segments, with a significant acceleration in net profit in Q4. The quarterly revenue growth rates for 2023 were 8.12%, 2.20%, 17.52%, and 14.49% respectively [6] - The company plans to sign new contracts exceeding 4.5 trillion yuan in 2024, reflecting a year-on-year increase of 4.07% [6] - The gross profit margin decreased to 9.83% in 2023, down 0.62 percentage points from the previous year, while the net profit margin decreased to 3.25% [6] - The company reported a significant increase in operating cash flow, with a net inflow of 11.03 billion yuan, up 188.07% year-on-year [6] - The company is a leader in the real estate and infrastructure sectors, with a high dividend yield and steady operational performance [6] Summary by Sections Financial Performance - In 2023, the company reported total revenue of 2,265.53 billion yuan and a net profit of 54.26 billion yuan, with respective year-on-year growth rates of 10.24% and 6.50% [6] - The company’s gross profit margin for 2023 was 9.83%, a decrease of 0.62 percentage points from the previous year [6] - The net profit margin was 3.25%, down 0.12 percentage points year-on-year [6] Business Segments - Revenue from various business segments showed robust growth: housing construction engineering (13,837.44 billion yuan, +9.4%), infrastructure construction and investment (5,565.61 billion yuan, +12.8%), and real estate development and investment (3,088.08 billion yuan, +9.5%) [6] - The company’s new contract signings in 2023 reached 38,727 billion yuan, an increase of 10.6% [6] Future Outlook - The company forecasts new contract signings to exceed 4.5 trillion yuan in 2024, with revenue expected to surpass 2.38 trillion yuan, reflecting a year-on-year growth of 5.05% [6] - Earnings per share (EPS) for 2024 and 2025 are projected to be 1.42 yuan and 1.54 yuan respectively, with a reasonable valuation range of 7.11 to 8.53 yuan based on a PE ratio of 5-6 times [6]