The company announced its 22-year annual report, with 22fy's revenue of 366.4 billion yuan, YOY +14%; net profit of 7.8 billion yuan to the mother, YOY +20%; net profit of non-return to the mother was 5.7 billion, YOY +13%. 22q4 revenue was 124.6 billion, YOY +11%; net profit of the mother was 3.6 billion, YOY +16%; after deducting the net profit of the non-return mother was 2.9 billion, YOY +24%.
Recently, 22fy also announced the status of new orders signed by 22fy. 22fy signed a new order of 1,049.1 billion, with YOY +20%, continuing rapid growth on a high base basis; 22q4's new YOY signings increased 26% to 354.4 billion. Of these, 22fy Project Construction signed a new YOY of 24% to 991 billion, and the number of new energy and integrated smart energy contracts for the engineering construction business increased 84% to 355 billion.
22h2 revenue accelerated, and profitability may gradually improve. The indicators for new energy projects were sufficiently put into operation in high-intensity revenue segments. 22fy engineering construction/survey/industrial manufacturing/investment and operation revenue was 30021/175/275/33.6 billion respectively, and YOY +14%/18%/-3%/23% respectively (vs. 22h1 YOY is +13%/6%/-2%/5%, respectively).
With the exception of industrial manufacturing, 22h2 revenue growth from other major businesses accelerated. Among them, the revenue from the new energy and integrated smart energy business of the 22fy project was +19% to 83 billion yuan; the revenue from investment and operation of new energy and smart energy increased 87% to 2.3 billion yuan. The business structure continued to be optimized, and the 14th Five-Year Plan low-carbon energy transformation was very effective.
The new contract scale for the 22fy project was 3.3x the project revenue scale during the same period, which is a good support for the relatively rapid revenue growth prospects. 22Fy obtained a new wind energy development index of 16.2 GW, YOY +40%, and obtained a cumulative wind energy development index of 30.1 GW. 22fy added 2.39 GW of grid-connected wind energy projects, with a cumulative total of 4.99 GW connected to the grid at the end of 22fy (2.59 GW at the end of vs. 21fy), of which wind/light/biomass was 1.74/3.02/0.22 GW (1.42/0.95/0.22 GW at the end of vs. 21fy respectively). In addition, 22fy received development rights for 4 savings projects totaling 7.90 GW. Traditional Energy 22fy Enfuo/Water Holdings installed 1.25/0.78GW, the same as at the end of 21fy.
22fy's comprehensive gross profit margin is 12.4%, yoy-0.9pct; single 22q4 gross profit margin is 16.2%, yoy+1.7pct.
By business, 22fy's gross margins for engineering construction/survey/industrial manufacturing/investment and operation were 7.7%/41.5%/17.7%/25.3%, respectively, and YOY was -0.8/+6.1/-6.0/-1.8pct respectively. The gross margin pressure of the engineering business is estimated to be due to high epidemic prevention costs and changes in business structure. Among them, the gross profit margin of the new energy and integrated smart energy sector was 5.3%, yoy+0.8; the gross margin pressure of the investment and operation business was mainly due to an increase in the revenue share of the real estate business. At the same time, 22fy's gross margin for the new energy and smart energy business reached 47.8%. 22fy's net interest rate to the mother was 2.1%, yoy+0.1pct; the net interest rate of 22q4 to the mother was 2.9%, yoy+0.1pct. The impact of minority shareholders was marginally weakened due to increased investment income contributions and early returns to A, partially hedging the impact of declining gross margin. 23fy's profitability may continue the 22q4 improvement trend.
The low-carbon energy transition is progressing steadily. “Reinventing a new energy building” can be expected to keep “buying” rating companies to steadily advance the low-carbon energy transformation. New energy projects remain intense and indicators are sufficient. At the same time, energy storage/hydrogen energy and other technologies continue to break through and projects are gradually being implemented. The goals of “building a new energy building with high-quality development by 2025” and “by 2035, fully building a world-class enterprise with global competitiveness” are constantly approaching. Considering the positive changes in the profit margin of the 22q4 company, the company's net profit forecast for 23/24 was raised slightly to 90/108 billion (previous value: 84/108 billion), the net profit forecast for 25 years was added to 12.6 billion yuan, and YOY for 23-25 was +16%/19%/17% respectively, giving the company 14x target PE for 23, slightly raising the company's target price to 3.04 yuan to maintain the “buy” rating.
Risk warning: The execution effect of the company's strategy is lower than expected, power and infrastructure investment is weaker than expected, impairment risk, policy risk