Group 1: Industry Performance - The global wind power installed capacity is expected to reach 117 GW in 2024, marking a historical high, with a compound annual growth rate (CAGR) of 8.8% projected for the wind energy sector [2] - In 2024, China's new wind power installed capacity is forecasted to be 79.82 GW, representing a year-on-year growth of 6% [2] - The total wind power generation in China for 2024 is estimated at 991.6 billion kWh, showing a year-on-year increase of 16% [2] Group 2: Company Financials - The company achieved an operating revenue of 4.838 billion yuan in 2024, reflecting a year-on-year increase of 0.52% [6] - The overseas sales revenue for 2024 reached 1.694 billion yuan, up by 21.57% compared to the previous year [15] Group 3: Strategic Initiatives - The company has signed strategic cooperation agreements with domestic manufacturers in the commercial aerospace sector, focusing on rocket body structures and related products [2] - The company is actively expanding its commercial aerospace business, including team building and market research [2] Group 4: Market Position and Challenges - The company maintains a leading position in the wind power equipment manufacturing industry, with a comprehensive product range and extensive capacity layout [8] - The company is addressing profit margin declines due to industry cycles, product mix, and raw material price fluctuations by optimizing customer structure and enhancing project management [15]

Core Viewpoint - Jiangsu Haiheng Wind Power Equipment Manufacturing Co., Ltd. is actively contributing to the clean energy sector by manufacturing wind power tower tubes, with a current order of 95 sets to be delivered to the Three Gorges project, showcasing its commitment to meeting market demand [1]. Group 1: Company Overview - Jiangsu Haiheng Wind Power Equipment Manufacturing Co., Ltd. is a key subsidiary of Jiangsu Haili Wind Power Equipment Technology Co., Ltd., focusing on offshore wind power equipment manufacturing [2]. - The company has accumulated orders exceeding 500 million yuan, demonstrating its professional strength and market influence in the offshore wind power equipment sector [2]. Group 2: Production and Quality Control - The company has established a strict quality inspection system, achieving a first-time pass rate of 99% for tower tube inspections, which is nearly 5 percentage points higher than the industry average [4]. - The final delivery acceptance rate can reach 100% after post-production corrections, highlighting the company's commitment to quality [4]. Group 3: Technological Advancements and Future Strategy - The company has met the provincial standards for green factories and is advancing towards automation and intelligent management, including upgrades to welding and spraying equipment [6]. - Jiangsu Haiheng is implementing a "two seas strategy," focusing on deepening its presence in the offshore wind market while expanding overseas business [6].

Company Overview - 威力传动 was established in 2003 in Yinchuan, with over 1,000 employees [2] - Main business includes R&D, production, and sales of wind power gearboxes and speed increasers, serving the renewable energy sector [2] - The company went public on the Shenzhen Stock Exchange in August 2023 [2] Key Clients and Market Position - 威力传动 has established itself as a key supplier for major domestic wind power companies such as Goldwind Technology and Envision Energy, and has entered the supplier lists of international firms like GE and Siemens-Gamesa [2] - The company has built strong, stable partnerships with these clients [2] 2024 Performance Challenges - The company anticipates a significant decline in 2024 performance due to intensified market competition and pressure on profit margins [3] - Increased costs from hiring approximately 400 new employees for the speed increaser smart factory have also impacted profitability [3] - The company did not achieve profitability in 2024 due to these factors [3] Strategic Response for 2025 - In 2025, 威力传动 plans to enhance product quality and cost transmission capabilities through supply chain integration and technological upgrades [3] - The company aims to expand its overseas market presence and customer base, particularly in the wind power speed increaser sector [3] - The gradual completion of the speed increaser smart factory is expected to strengthen the company's core competitiveness [3] Smart Factory Development - The speed increaser smart factory is currently under construction, with progress reported as smooth [3] Manufacturing Advantages - 威力传动's speed increasers are recognized for their high technological content and efficiency, featuring advanced materials and processing techniques [3] - The company employs high-quality alloy steel and advanced heat treatment processes to enhance durability and performance [3] Share Buyback Progress - As of the 2024 annual report, the company has repurchased 876,500 shares, accounting for 1.21% of total shares, with a total transaction amount of RMB 44,206,663 [4] Market Outlook - The Global Wind Energy Council projects a global wind power installation capacity increase of 791 GW from 2024 to 2028, with an average annual addition of 158 GW [4] - In 2025, China's new wind power installations are expected to exceed 120 GW, presenting a critical growth opportunity for 威力传动 [4] Operational Strategy - The company will focus on lean management, safety production, and expanding overseas sales markets while optimizing its supply chain and enhancing digital transformation [4]

Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for future performance [4]. Core Views - The company achieved a revenue of 4.838 billion yuan in 2024, a slight increase of 0.52% year-on-year, but the net profit attributable to shareholders decreased by 37.77% to 182 million yuan [1][5]. - The company is actively pursuing its "dual-sea" strategy, focusing on both domestic and international markets, particularly in offshore wind energy [3][4]. - The company has a robust order backlog of approximately 4.917 billion yuan, which is expected to support future revenue growth [3]. Summary by Sections Financial Performance - In 2024, the company reported a revenue of 48.38 billion yuan, with a year-on-year growth of 0.52%. The net profit attributable to shareholders was 1.82 billion yuan, down 37.77% from the previous year [1]. - The fourth quarter of 2024 saw a revenue of 18.88 billion yuan, marking a 2.88% increase year-on-year and a 45.91% increase quarter-on-quarter [1]. Business Segments - The onshore wind equipment segment, including concrete towers, saw a revenue increase of 15.24% to 40.26 billion yuan, although the gross margin decreased by 5.21 percentage points to 13.69% [2]. - The offshore wind and marine engineering equipment segment experienced a revenue decline of 37.77% to 6.72 billion yuan, with a gross margin of 8.13% [2]. - The zero-carbon business segment's revenue decreased by 8.34% to 0.29 billion yuan, with a gross margin of 38.84% [2]. Strategic Developments - The company has established a new production base in Changji, designed for high-end tower products, with a planned capacity of 100,000 tons [3]. - An overseas sales center was set up in Germany to enhance international market presence, contributing to a 21.57% increase in overseas revenue to 1.694 billion yuan [3]. - The company has secured supplier certifications from major clients, indicating strong market positioning and potential for future growth [3]. Profitability and Valuation - The report projects a decline in profitability due to increased industry competition, with net profit estimates for 2025, 2026, and 2027 at 325 million yuan, 424 million yuan, and 501 million yuan, respectively [4][5]. - The estimated earnings per share (EPS) for the same years are projected to be 0.35 yuan, 0.45 yuan, and 0.54 yuan, with corresponding price-to-earnings (P/E) ratios of 18, 14, and 12 [4][5].