EIT(SZ:300815) Changjiang Securities·2024-04-30 05:32Investment Rating - The investment rating for the company is "Accumulate" [20] Core Insights - The company achieved an operating revenue of 6.161 billion yuan in 2023, representing a year-on-year growth of 14.22%, and a net profit attributable to shareholders of 521 million yuan, up 5.42% year-on-year [2][4] - In Q1 2024, the company reported a single-quarter operating revenue of 1.702 billion yuan, a year-on-year increase of 20.06%, with a net profit of 148 million yuan, growing 5.59% year-on-year [2][4] - The urban operation segment saw a new annualized contract amount of 1.447 billion yuan in 2023, marking a significant year-on-year growth of 44.74%, which contributed to revenue growth [6][18] - The company has maintained a healthy cash flow quality, with a cash collection ratio of 92.04% in 2023, only slightly down by 1.25 percentage points year-on-year [18] Summary by Sections Financial Performance - In 2023, the company reported total revenue of 6.161 billion yuan and a net profit of 521 million yuan, with respective year-on-year growth rates of 14.22% and 5.42% [2][4] - The urban operation segment accounted for 82.25% of total revenue, with a revenue of 5.067 billion yuan, up 17.19% year-on-year [6] - The company recorded a comprehensive gross margin of 22.72% in 2023, an increase of 0.32 percentage points, attributed to refined management practices [18] Order and Contract Status - As of the end of 2023, the total contract amount in hand for the urban operation segment was 52.3 billion yuan, with 35.264 billion yuan pending execution, indicating a robust order backlog [6] - The company signed new contracts worth approximately 11.832 billion yuan in 2023, reflecting a year-on-year increase of 220.74% [6] Strategic Initiatives - The company is actively pursuing smart technology integration in its operations, enhancing its competitive edge in the sanitation service sector [7] - The focus on urban management services is expected to drive future revenue growth, with projected net profits of 618 million yuan, 703 million yuan, and 790 million yuan for 2024, 2025, and 2026 respectively [19]