Investment Rating - The investment rating for the company is "Recommended" [4][14]. Core Views - The company has optimized its revenue structure and improved profitability, with a slight decrease in revenue for 2024 but significant growth in net profit [4][7]. - The company plans to distribute cash dividends and increase share capital through bonus shares [4]. - The company is focusing on expanding its overseas market presence, particularly in Europe, India, and the Middle East, while maintaining a strong position in the domestic market [10]. Financial Performance Summary - In 2024, the company achieved operating revenue of 4.773 billion yuan, a decrease of 3.2% year-on-year, while net profit attributable to shareholders increased by 46.5% to 419 million yuan [4][6]. - For Q1 2025, the company reported operating revenue of 831 million yuan, a year-on-year increase of 16.8%, and net profit of 88 million yuan, up 71.6% [4][7]. - The gross profit margin for 2024 was 22.9%, an increase of 5.79 percentage points from the previous year, with a net profit margin of 8.73% [7][12]. Revenue Breakdown - In 2024, revenue from photovoltaic inverters was 2.750 billion yuan, a decrease of 4.5%, while revenue from energy storage systems increased slightly to 1.928 billion yuan, a growth of 0.1% [7][10]. - The company’s revenue from overseas markets grew significantly by 68.7% to 1.164 billion yuan, accounting for 24.4% of total revenue [7][10]. Market Position - The company ranks fourth in the domestic photovoltaic inverter bidding market with a total winning capacity of 18.2 GW in 2024 [10]. - It is also ranked second in both domestic and overseas markets for energy storage inverters [10]. Future Projections - The company forecasts operating revenues of 6.066 billion yuan in 2025, with a projected net profit of 632 million yuan, reflecting a growth rate of 50.8% [6][12]. - The expected earnings per share (EPS) for 2025 is 1.76 yuan, with a price-to-earnings (P/E) ratio of 16.1 [12].

Investment Rating - The report maintains a "Recommended" investment rating for the company [4][12]. Core Insights - The company achieved a revenue of 4.773 billion yuan in 2024, a decrease of 3.2% year-on-year, while the net profit attributable to shareholders increased by 46.5% to 419 million yuan [4][7]. - In Q1 2025, the company reported a revenue of 831 million yuan, reflecting a year-on-year growth of 16.8% [4][7]. - The company plans to distribute a cash dividend of 1.2 yuan per 10 shares and a capital reserve conversion of 4 shares for every 10 shares held [4]. Revenue and Profitability - The company's revenue structure is optimizing, with a notable shift towards overseas markets, where revenue grew by 68.7% to 1.164 billion yuan in 2024, accounting for 24.4% of total revenue [7][8]. - The gross margin improved to 22.9% in 2024, up from 19.2% in 2023, with the net margin also increasing to 8.73% [7][10]. - The company is expected to see continued growth in net profit, with projections of 632 million yuan in 2025 and 1.083 billion yuan in 2027 [6][10]. Market Position and Strategy - The company holds a leading position in the photovoltaic and energy storage inverter markets, ranking fourth globally in photovoltaic inverter shipments in 2023 [8]. - The company is expanding its presence in key overseas markets, including Europe, India, and the Middle East, to mitigate risks associated with domestic policy fluctuations [8][10]. - The focus for 2025 includes advancing large-scale energy storage markets and enhancing supply chain and after-sales service networks in emerging markets along the Belt and Road Initiative [8]. Financial Projections - Revenue is projected to grow to 6.066 billion yuan in 2025, with a compound annual growth rate (CAGR) of 27.1% from 2024 to 2025 [6][10]. - The earnings per share (EPS) are expected to increase from 1.16 yuan in 2024 to 1.76 yuan in 2025, and further to 3.01 yuan by 2027 [6][10]. - The company's price-to-earnings (P/E) ratio is projected to decrease from 24.2 in 2024 to 9.4 by 2027, indicating potential undervaluation [10].