Investment Rating - The report maintains a "Buy" rating for the company [8] Core Views - The company's revenue for 2024 is projected at 78.584 billion RMB, a year-on-year increase of 5.01%, with a net profit attributable to the parent company of 3.614 billion RMB, reflecting a significant year-on-year growth of 22.21% [1] - In Q1 2025, the company reported a revenue of 15.858 billion RMB, up 3.85% year-on-year, and a net profit of 1.127 billion RMB, showing a remarkable year-on-year increase of 180.99% [1] - The report highlights the company's strong profit growth in 2024 and the significant increase in gross margin in Q1 2025, indicating that high-value orders are translating into profitability [1][2] - The report emphasizes the competitive advantage of leading shipbuilding companies amid industry differentiation and ship type upgrades, with a notable increase in high-value ship orders [3] - The company is expected to benefit from group restructuring, which is anticipated to enhance profitability [4] Financial Projections - The report forecasts net profits for 2025 and 2026 at 7.467 billion RMB and 10.865 billion RMB, respectively, with an expected net profit of 12.773 billion RMB in 2027 [5] - The target price for the company's stock is set at 41.75 RMB, based on a price-to-earnings (PE) ratio of 25 for 2025 [5][9] - The report provides a detailed financial outlook, projecting revenues and net profits to grow significantly over the next few years, with a compound annual growth rate (CAGR) for revenue of 19.74% from 2024 to 2025 [7]