Investment Rating - The report maintains an "Outperform" rating for Hainan Airport, indicating a positive outlook for the company's stock performance relative to the market [3][7]. Core Insights - The increase in shareholding by the controlling shareholder, Hainan Airport Group, signals confidence in the company's future development and strategic value as a hub in Hainan Free Trade Port [7]. - The company's short-term performance is under pressure, but profitability is expected to improve in the long term as it focuses on its core airport operations [7]. - The ongoing expansion of Sanya Phoenix International Airport is a key project that will enhance the company's operational capacity and growth potential [7]. - Adjustments to profit forecasts for 2024 and 2025 reflect the impact of previous high revenue from real estate and the slow recovery of duty-free consumption [7]. Financial Data and Profit Forecast - Total revenue for 2023 is projected at 6,762 million, with a significant decrease expected in 2024 to 5,106 million, reflecting a year-on-year decline of 24.5% [6][9]. - The net profit attributable to the parent company is expected to drop to 462 million in 2024, a decrease of 51.6% compared to the previous year [6][9]. - The company's gross margin is forecasted to decline from 48.9% in 2023 to 35.6% in 2024, with a gradual recovery expected thereafter [6][9]. - The estimated target market value for 2025 is projected to be 448 billion, based on a sum of valuations from its core airport and duty-free businesses [7].