Huizhong(300371) 中邮证券·2024-04-29 08:00Investment Rating - The report maintains a "Buy" rating for the company [18][6]. Core Views - The company reported a revenue of 496 million yuan in 2023, a decrease of 2.32% year-on-year, and a net profit attributable to shareholders of 104 million yuan, down 3.89% [4]. - In Q1 2024, the company achieved a revenue of 50 million yuan, a significant decline of 28.63%, with a net profit of 4 million yuan, down 41.1% [4]. - The short-term performance is under pressure primarily due to deferred demand from investment projects [4]. - The company’s overseas market sales reached 38.35 million yuan in 2023, a year-on-year increase of 209.9%, indicating strong growth potential in international markets [4]. - Recent policies promoting heat measurement are expected to catalyze growth in the heat meter market, where the company is positioned as a leading player [4]. Financial Summary - Projected revenues for 2024-2026 are 611 million, 722 million, and 840 million yuan, with year-on-year growth rates of 23.24%, 18.24%, and 16.33% respectively [5]. - The net profit attributable to shareholders for the same period is forecasted to be 128 million, 151 million, and 174 million yuan, with growth rates of 23.05%, 17.55%, and 15.19% [5]. - The company’s PE ratios for 2024-2026 are projected to be 14.79, 12.58, and 10.92 times [5][6].