Investment Rating - The report maintains a "Buy" rating for Guodian NARI Technology Co., Ltd. [1] Core Views - The company's performance aligns with market expectations, with a revenue of 57.42 billion yuan in 2024, reflecting a year-on-year growth of 11.15% [8] - The company continues to invest heavily in research and development, with R&D expenses increasing by 19% to 2.26 billion yuan in 2024 [8] - The net profit attributable to shareholders is projected to reach 7.61 billion yuan in 2024, a year-on-year increase of 6.06% [8] Summary by Sections Financial Performance - Total revenue for 2023 is reported at 51.66 billion yuan, with projections for 2024 at 57.42 billion yuan, 2025 at 64.63 billion yuan, and continuing growth through 2027 [1] - The net profit attributable to shareholders is forecasted to grow from 7.17 billion yuan in 2023 to 10.53 billion yuan by 2027 [1] - The earnings per share (EPS) is expected to increase from 0.89 yuan in 2023 to 1.31 yuan in 2027 [1] Business Segments - The company's internal business revenue is expected to reach 39.2 billion yuan in 2024, with a year-on-year growth of 9% [8] - The external business revenue is projected to grow to 18.1 billion yuan in 2024, reflecting a year-on-year increase of 16% [8] - International business revenue is anticipated to reach 3.3 billion yuan in 2024, showing a significant year-on-year growth of 135% [8] R&D and Future Outlook - The company plans to maintain its high R&D investment, with total expenses expected to rise to 7.7 billion yuan in 2025, a 20% increase from 2024 [8] - The report anticipates a stable growth trajectory for the company, with a projected revenue of 64.63 billion yuan in 2025 and a net profit of 8.37 billion yuan [1][8] - The company is expected to benefit from upcoming large-scale equipment updates and upgrades in the distribution network, which will drive demand for its traditional business [8]

Core Viewpoint - The company achieved a revenue of 17.089 billion in 2024, with a year-on-year growth of 0.2%, and a net profit attributable to shareholders of 1.117 billion, reflecting an 11.1% increase year-on-year [1] Financial Performance - In Q4 2024, the company reported a revenue of 7.503 billion, a year-on-year increase of 20.4% and a quarter-on-quarter increase of 172.8% [1] - The net profit attributable to shareholders for Q4 2024 was 222 million, showing a year-on-year growth of 13.9% but a quarter-on-quarter decline of 16.9% [1] - For Q1 2025, the company recorded a revenue of 2.348 billion, a year-on-year decrease of 16.4% and a quarter-on-quarter decrease of 68.7% [1] Profitability Metrics - The company’s gross profit margin and net profit margin for 2024 were 20.8% and 7.6%, respectively, with year-on-year changes of 2.8 percentage points and 0.6 percentage points [2] - In Q1 2025, the gross profit margin and net profit margin improved to 23.5% and 10.1%, with year-on-year changes of 5.2 percentage points and 0.7 percentage points [2] Business Segments - The company is a leading player in the domestic ultra-high voltage converter valve market, benefiting from increased industry demand [2] - The direct current transmission system business generated revenue of 1.44 billion in 2024, a significant year-on-year increase of 101.6% [2] - The smart meter business achieved revenue of 3.87 billion in 2024, with a year-on-year growth of 11% [3] - The company’s overseas business revenue reached 310 million in 2024, reflecting a year-on-year increase of 102% [3] Future Outlook - Revenue projections for 2025, 2026, and 2027 are 19.7 billion, 22.56 billion, and 25.1 billion, respectively, with expected net profit growth rates of 28.5%, 20.9%, and 14.6% [4] - The company’s core product advantages in smart grids and ultra-high voltage sectors, along with flexible direct current and EPC business, are expected to drive future growth [4]

Core Viewpoint - 大连电瓷 reported significant growth in both revenue and net profit for the fiscal year 2024, driven by strong demand in the power transmission sector and successful project deliveries domestically and internationally [1][2]. Financial Performance - The company achieved operating revenue of 1.496 billion yuan, an increase of 78.21% year-on-year [1]. - Net profit reached 211 million yuan, reflecting a remarkable growth of 303.3% compared to the previous year [1]. - Basic earnings per share were reported at 0.48 yuan [1]. - For Q1 2025, the company reported operating revenue of 224 million yuan, a year-on-year increase of 30.60%, and net profit of approximately 2.02 million yuan, up 86.35% [6]. Business Development - The main business of 大连电瓷 includes the research, production, and sales of porcelain and composite insulators for power transmission lines and substations [1]. - The company has established business relationships with users in nearly 100 countries, enhancing its global market presence [1]. - Recent projects include significant supply contracts for major power transmission lines, contributing to the strong performance [2]. R&D and Innovation - The company maintained a high level of investment in R&D, with expenditures of approximately 82.79 million yuan, a 41.05% increase year-on-year [4]. - R&D efforts focus on high-voltage transmission technology, with products achieving international advanced levels recognized by industry authorities [3][4]. - The company has established long-term collaborations with universities and research institutions to enhance its R&D capabilities [3]. Production Capacity and Efficiency - The 江西 factory has completed capacity ramp-up and achieved profitability, significantly contributing to the company's growth [2][4]. - The company has implemented automation and intelligent transformation in production, greatly improving manufacturing efficiency [4]. - Strict process control during production ensures high yield rates, maintaining a competitive edge in the industry [4]. Market Strategy - The company plans to deepen its market expansion in key regions, particularly in the Middle East and Europe, leveraging its strategic position in Saudi Arabia [4]. - It aims to explore various capital operation strategies, including attracting strategic investors and issuing bonds, to support sustainable business development [5].