Guangdong Hydropower released its semi-annual report for 2022: the company's operating income in the first half of 2022 was 6.263 billion yuan, down 7.93% from the same period last year; and its net profit was 184 million yuan, an increase of 16.02% over the same period last year.
Of this total, Q2 achieved an operating income of 2.96 billion yuan, down 10.69% from the same period last year, and a net profit of 137 million yuan, an increase of 25.28% over the same period last year.
The newly signed contract value of the company in the first half of 2022 was 4.67 billion yuan, an increase of 41% over the same period last year. Under the background of steady growth, the demand for infrastructure in the Dawan area where the company is located is strong, and the newly signed orders for green power, transportation and other infrastructure projects are growing rapidly.
The company achieved operating income of 6.263 billion yuan in the first half of 2022, down 7.93% from the same period last year. The revenue of water conservancy and power generation business increased by 35.69% compared with the same period last year, which is the main reason for the revenue growth of the company. At the same time, the company's wind power, solar power business, survey and design and consulting services increased by + 4.10%, + 3.64% and + 62.03% respectively, maintaining a certain growth.
In the first half of 2022, the company achieved a comprehensive gross profit margin of 13.66%, an increase of 2.17pct over the same period last year, and a net profit margin of 3.17%, an increase of 0.64pct over the same period last year. The increase in net interest rate is less than that of gross margin, which is mainly due to the increase in interest expenses and provision for bad debts.
The company's asset + credit impairment loss in the first half of 2022 was 109 million yuan, accounting for 1.73% of the income end, an increase in 0.77pct over the same period last year, mainly due to an increase in bad debt losses.
In the first half of 2022, the net operating cash flow per share was-0.18 yuan, which was 0.18 yuan less than the same period last year. The increase in net cash flow was mainly due to the increase in tax returns received.
Earnings forecast and rating: we maintain the profit forecast for the company. It is estimated that the company's EPS forecast for 2022-2024 will be 0.33,0.40,0.49 yuan respectively, corresponding to the closing price PE of 22.3,18.6,15.2 times on September 2, respectively, maintaining the "prudent overweight" rating.
Risk hints: macroeconomic downside risks, the landing of on-hand orders is not as expected, business development outside the province is not as expected, and the progress of construction projects is not as expected.