Investment Rating - The investment rating for the company is "Outperform" (Maintain) [3] Core Views - The company is expected to achieve a revenue of 401 million yuan in 2024, a decrease of 8.55% year-on-year, with a net profit attributable to the parent company of 40 million yuan, down 14.00% year-on-year. The decline is attributed to the price drop of high-priced stainless steel products and oil slurry steam generators [3] - The company is well-positioned to benefit from the "reduce oil and increase chemical" policy, coupled with its accelerated expansion into overseas oil and chemical heat exchanger markets, maintaining an "Outperform" rating [3] Financial Summary - The company's total revenue for 2022 was 367 million yuan, with a year-on-year growth of 18.4%. The projected revenue for 2023 is 438 million yuan, a growth of 19.5%, followed by an expected decline to 401 million yuan in 2024 [6] - The net profit attributable to the parent company for 2022 was 40 million yuan, with a significant year-on-year increase of 103.2%. The forecast for 2024 is a net profit of 40 million yuan, reflecting a decrease of 14.0% [6] - The company's gross margin is projected to be 20.5% in 2024, down from 22.2% in 2022, while the net margin is expected to be 10.1% in 2024 [6] Market Trends - The domestic heat exchanger market is expected to grow from 900.2 billion yuan in 2023 to 992.1 billion yuan by 2026, with a compound annual growth rate (CAGR) of 3.29% [4] - The "reduce oil and increase chemical" policy is driving the demand for heat exchangers, as large refining enterprises are actively promoting integrated refining and chemical upgrades [4] Company Positioning - The company has extensive experience in petrochemical heat exchangers and has established itself as a qualified supplier for major global companies such as Shell, Saudi Aramco, and ExxonMobil, indicating a strong competitive position [5] - The company is accelerating its overseas expansion efforts, which are expected to become a new growth driver while maintaining its domestic business [5]