LSHEC(SH:603169) CHINA DRAGON SECURITIES·2024-05-09 23:30Investment Rating - The investment rating for the company is "Accumulate" [13] Core Views - The company reported a revenue of 5.162 billion yuan in 2023, representing a year-on-year growth of 3.65%, while the net profit attributable to the parent company was 154 million yuan, a decrease of 12.62% year-on-year [13] - The company is actively integrating and optimizing its industrial chain, which is expected to lay a solid foundation for long-term development [13] - The company has seen significant growth in its nuclear energy sector, with new orders amounting to 517 million yuan in 2023, an increase of 154.60% year-on-year [13] Financial Performance Summary - The company’s revenue is projected to grow from 5.162 billion yuan in 2023 to 7.4 billion yuan in 2026, with a compound annual growth rate (CAGR) of approximately 13.2% [6] - The net profit attributable to the parent company is expected to increase from 154 million yuan in 2023 to 258 million yuan in 2026, reflecting a growth rate of 14.0% [6] - The company’s return on equity (ROE) is forecasted to improve from 5.0% in 2023 to 6.7% in 2026 [6] Business Structure and Profitability - The company’s main business segments include traditional energy equipment (54.93%), new energy equipment (17.59%), and energy-saving and environmental protection equipment (7.31%) [13] - The gross profit margins for these segments are reported at 13.76%, 13.57%, and 16.81% respectively [13] - The company has increased its R&D expenditure, which now accounts for a higher percentage of total expenses, indicating a focus on technological innovation [13]