GUANGHUI ENERGY(SH:600256)2024-04-26 04:31Investment Rating - The report maintains a "Recommended" rating for the company [1] Core Views - The company reported a Q1 2024 revenue of 10.04 billion yuan, a year-on-year decrease of 49.4% and a quarter-on-quarter decrease of 15.7%. The net profit attributable to the parent company was 810 million yuan, down 73.1% year-on-year but up 150.2% quarter-on-quarter [1] - The company's profitability improved alongside a rebound in coal sales, with Q1 coal sales totaling 9.02 million tons, a year-on-year increase of 2.0% and a quarter-on-quarter increase of 11.3%. The sales volume of raw coal was 7.8 million tons, down 1.1% year-on-year but up 9.3% quarter-on-quarter [1] - National coal demand is expected to grow steadily, with the company’s coal production capacity approval processes ongoing. The company has a total coal resource reserve of 6.597 billion tons across its mining areas [1] - The company’s LNG receiving station in Qidong has enhanced its throughput capacity, expected to reach 10 million tons per year by 2025, which will likely boost the scale of its natural gas business [1] - The company is actively exploring new energy sources, with its hydrogen energy project entering trial production, expected to produce 660 tons of hydrogen annually, contributing to significant CO2 emissions reduction [1] Financial Summary - The company’s projected revenues for 2024, 2025, and 2026 are 68.347 billion yuan, 75.604 billion yuan, and 87.295 billion yuan, respectively, with year-on-year growth rates of 28.26%, 14.42%, and 21.42% [1] - The net profit attributable to the parent company is expected to be 6.635 billion yuan, 7.592 billion yuan, and 9.219 billion yuan for the same years, with corresponding growth rates [1] - The earnings per share (EPS) are projected to be 1.01 yuan, 1.16 yuan, and 1.40 yuan, with price-to-earnings (PE) ratios of 7.24, 6.33, and 5.21 times [1]