Core Viewpoint - Mingyang Electric has achieved significant technological breakthroughs in the offshore wind power sector, with the successful development and certification of a 72.5kV high-voltage conductive slip ring and a 252kV vacuum breaking environmental protection gas-insulated metal-enclosed switchgear, positioning the company favorably in the industry [1][4][7]. Technological Advancements - The 72.5kV high-voltage conductive slip ring has passed authoritative certification, breaking the previous limitation of 40.5kV in similar equipment, thus providing critical technical support for the large-scale development of floating offshore wind power [1][7]. - The new slip ring technology integrates into a single-point mooring system, utilizing gas insulation instead of traditional air insulation, which significantly reduces the equipment size and enhances corrosion resistance, making it suitable for harsh deep-sea environments [6][7]. - The technology ensures stable power transmission even in a rotating state, effectively addressing cable twisting and wear issues, thereby guaranteeing reliable power delivery for large-capacity offshore wind turbines [6][7]. Market Positioning and Strategy - Mingyang Electric's innovations align with the industry's shift towards deep-sea floating wind power, providing the company with a competitive edge in this emerging market [7]. - The company is committed to forward-looking strategies, focusing on technological advancements to address industry pain points and drive new upgrades in technology [8]. - Mingyang Electric is expanding its product matrix by developing low-energy consumption power modules for data centers and actively exploring the smart grid market, enhancing its overall competitiveness [8]. Financial Performance - In the first quarter of 2025, the company reported a revenue of 1.306 billion yuan, a year-on-year increase of 26.21%, and a net profit attributable to shareholders of 112 million yuan, up 25.01% year-on-year [9]. - The company aims to leverage its technological advantages and innovation capabilities to continue launching market-demand-driven products, aspiring to become a global leader in power transmission and distribution equipment and system services [9].

Investment Rating - The investment rating for the company is "Outperform the Market" [5][3]. Core Views - The company has achieved rapid growth in revenue and profit, with a projected revenue of 6.444 billion yuan in 2024, representing a year-on-year increase of 29.62%, and a net profit of 663 million yuan, up 33.80% year-on-year [8][3]. - The company is focusing on product upgrades, with significant advancements in offshore wind power transformers and environmental GIS technology, which have filled domestic industry gaps [2][18]. - The data center business is making important progress, enhancing the company's competitiveness in the smart grid market [2][19]. - The company is actively expanding its overseas market presence, with products certified by various international standards and exported to over 60 countries [19][2]. Financial Performance - In Q1 2025, the company reported a revenue of 1.306 billion yuan, a year-on-year increase of 26.21%, and a net profit of 112 million yuan, up 25.01% year-on-year [13][17]. - The gross profit margin for Q1 2025 was 21.78%, slightly down by 1.29 percentage points year-on-year, attributed to the increased delivery of data center products [17][13]. - The company expects to achieve net profits of 865 million yuan, 1.064 billion yuan, and 1.314 billion yuan for 2025, 2026, and 2027 respectively, with corresponding P/E ratios of 15, 12, and 10 [3][19]. Financial Projections - The company forecasts revenues of 8.464 billion yuan in 2025, 9.870 billion yuan in 2026, and 11.568 billion yuan in 2027, with growth rates of 31.4%, 16.6%, and 17.2% respectively [4][22]. - The net profit is projected to grow at rates of 30.5%, 23.1%, and 23.4% for the years 2025, 2026, and 2027 [4][22]. - The company's return on equity (ROE) is expected to be 17.3% in 2025, 18.8% in 2026, and 20.3% in 2027 [4][22].