Sany Renewable Energy (SH:688349) Guoxin Securities·2024-05-06 02:30Investment Rating - The investment rating for SANY Renewable Energy (688349.SH) is "Accumulate" [4][17]. Core Views - The company achieved steady revenue growth in 2023, with operating income reaching 14.94 billion yuan, a year-on-year increase of 21.2%, and a net profit attributable to shareholders of 2.01 billion yuan, up 21.8% year-on-year. However, the gross profit margin faced temporary pressure, decreasing to 17.0%, down 6.5 percentage points year-on-year [1][7]. - The fourth quarter saw significant growth, driven by the transfer of power plants, which contributed approximately 900 million yuan in investment income. The fourth-quarter revenue was 7.45 billion yuan, a year-on-year increase of 24.58% and a quarter-on-quarter increase of 108.33% [1][12]. - The company is experiencing short-term pressure in the first quarter of 2024, with revenue of 1.73 billion yuan, a year-on-year increase of 10.5% but a quarter-on-quarter decrease of 76.8%. The net profit attributable to shareholders was 266 million yuan, down 44.92% year-on-year [1][12]. - New orders reached a record high of 14.1 GW in 2023, with total orders on hand at 15.9 GW by the end of the year. The wind turbine manufacturing revenue was 11.94 billion yuan, with a gross margin of 15.5% [1][12]. - The company is advancing its globalization strategy, achieving breakthroughs in overseas markets with overseas revenue of 310 million yuan and a gross margin of 22.1%, which is 5.3 percentage points higher than domestic margins [1][12]. Summary by Sections Financial Performance - In 2023, the company reported operating income of 14.94 billion yuan, a 21.2% increase year-on-year, and a net profit of 2.01 billion yuan, up 21.8% year-on-year. The gross profit margin was 17.0%, down 6.5 percentage points year-on-year [1][7]. - The fourth quarter of 2023 saw revenue of 7.45 billion yuan, a year-on-year increase of 24.58% and a quarter-on-quarter increase of 108.33%. The net profit for the quarter was 976 million yuan, a year-on-year increase of 61.44% [1][12]. - The first quarter of 2024 showed revenue of 1.73 billion yuan, a year-on-year increase of 10.5% but a quarter-on-quarter decrease of 76.8%. The net profit was 266 million yuan, down 44.92% year-on-year [1][12]. Orders and Market Position - The company achieved a record high in new orders with 14.1 GW in 2023, and total orders on hand reached 15.9 GW by the end of the year. Wind turbine manufacturing revenue was 11.94 billion yuan, with a gross margin of 15.5% [1][12]. - The company is expected to see a rebound in wind turbine gross margins due to ongoing cost reduction efforts [1][12]. Global Expansion - The company has made significant strides in its global strategy, with overseas revenue of 310 million yuan and a gross margin of 22.1%, which is higher than domestic margins [1][12]. - A dedicated overseas marketing team of over 200 members has been established to support international business development [1][12].