MJNY(SZ:000723) KAIYUAN SECURITIES·2024-04-29 02:00Investment Rating - The investment rating for Meijin Energy is maintained at "Outperform" [2] Core Views - The decline in coke prices has negatively impacted the company's performance, with a focus on black demand and hydrogen energy progress. The company reported a revenue of 20.81 billion yuan in 2023, down 15.4% year-on-year, and a net profit attributable to shareholders of 290 million yuan, down 86.9% year-on-year. For Q1 2024, revenue was 4.19 billion yuan, down 21.5% year-on-year, with a net loss of 360 million yuan, down 189.8% year-on-year. The profit forecasts for 2024-2026 have been adjusted downwards due to the pressure from falling coke prices, with expected net profits of 380 million, 510 million, and 670 million yuan respectively for those years [2][4] Summary by Relevant Sections Financial Performance - In 2023, the company produced 5.84 million tons of coke and sold 5.90 million tons, both up 8.8% year-on-year. The average market price for metallurgical coke in Hebei was 2,207 yuan per ton in 2023, down 24.2% year-on-year, and continued to decline in Q1 2024 to an average of 2,087 yuan per ton, down 18.4% year-on-year. The revenue per ton of coke was 3,455 yuan, down 21.5% year-on-year, while the cost per ton was 3,054 yuan, down 11.9% year-on-year, leading to a gross margin drop from 21.3% in 2022 to 11.6% in 2023 [4][5] Market Outlook - The domestic average daily pig iron production has been low due to weak operations, but there has been a gradual improvement since mid-March 2024. As of April 26, 2024, the average daily pig iron production increased from 2.2077 million tons to 2.2878 million tons, indicating a potential recovery in coke demand as project operations improve [4] Hydrogen Energy Development - The company has established a complete hydrogen energy industry chain, including production, storage, transportation, and application. It has two subsidiaries for hydrogen fuel cell vehicle production with a combined annual capacity of 10,000 units. In 2023, the company produced 1,915 hydrogen fuel cell vehicles, a 158% increase year-on-year, and achieved a market share of 19.8% in the hydrogen fuel cell vehicle market [4][5]