JINHONG GAS(SH:688106) KAIYUAN SECURITIES·2024-04-26 15:32Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for its performance relative to the market [10][12][8]. Core Insights - The company achieved steady revenue growth in Q1 2024, with a revenue of 589 million yuan, representing a year-on-year increase of 13.74% but a quarter-on-quarter decrease of 8.97%. The net profit attributable to the parent company was 76 million yuan, up 26.68% year-on-year and 36.46% quarter-on-quarter [8][12]. - The company continues to invest in research and development, with R&D expenses of 24 million yuan in Q1 2024, a year-on-year decrease of 2.76% but a quarter-on-quarter increase of 19.21% [8][27]. - The company has made significant progress in its onsite gas production projects, including a long-term supply contract worth approximately 2.4 billion yuan for industrial gas products [13][27]. Financial Performance Summary - The company's revenue is projected to grow from 2.89 billion yuan in 2024 to 4.25 billion yuan in 2026, with corresponding net profits expected to rise from 405 million yuan to 624 million yuan during the same period [14][15]. - The gross profit margin for Q1 2024 was reported at 34.10%, reflecting a year-on-year decrease of 4.01 percentage points [8][14]. - The company's earnings per share (EPS) is forecasted to increase from 0.83 yuan in 2024 to 1.28 yuan in 2026, with a price-to-earnings (P/E) ratio projected to decrease from 22.4 to 14.5 over the same period [14][15].