ZPEC(SH:603619) Guolian Securities·2024-05-09 05:00Investment Rating - The investment rating for Zhongman Petroleum (603619) is "Buy" (maintained) with a target price of 32.40 CNY [15]. Core Views - The company reported a significant increase in revenue and net profit for 2023, with revenue reaching 3.7 billion CNY, up 17% year-on-year, and net profit of 810 million CNY, up 68% year-on-year [1][9]. - The first quarter of 2024 saw a decline in revenue to 810 million CNY, down 11% year-on-year, and a net profit of 170 million CNY, down 20% year-on-year [1]. - The acquisition of the Jiange block has been consolidated into the financials, expanding the company's overseas oil and gas operations [2][21]. - The company’s oil production from the Wensu project reached approximately 580,000 tons in 2023, a 34% increase year-on-year, while total oil production from the Jiange block was 100,000 tons, bringing the total to 680,000 tons [9]. - The report anticipates revenue growth for 2024-2026, with projected revenues of 4.7 billion CNY, 5.5 billion CNY, and 6.3 billion CNY, corresponding to growth rates of 25%, 18%, and 15% respectively [16]. Financial Summary - In 2023, the company achieved a revenue of 3.732 billion CNY, with a growth rate of 16.67% compared to 2022 [29]. - The net profit for 2023 was 810 million CNY, reflecting a growth rate of 67.88% [29]. - The earnings per share (EPS) for 2023 was 2.02 CNY, with a projected EPS of 3.24 CNY for 2024 [29]. - The company’s total assets increased from 7.776 billion CNY in 2022 to 9.132 billion CNY in 2023 [31].