This report is read as follows:
The company's installed capacity of new energy has exceeded one million kilowatts, the growth rate of production and installation is expected to exceed expectations, and the performance is about to usher in explosive growth.
Main points of investment:
Maintain the "overweight" rating: from 2023 to 2025, maintain the EPS 0.60, 0.99, 1.12 yuan, target price, 16.52 yuan, and maintain the "overweight" rating.
Event: the company issued a "notice on the follow-up wind power generation of the Yongning wind farm project of Honghe Yuneng New Energy Development Co., Ltd., a wholly-owned subsidiary," as of September 6, 2023, the Yongning wind farm project totaled 237000 kilowatts of wind turbines.
The installed capacity of new energy has exceeded one million kilowatts, and production is expected to continue to accelerate. By September 6, 2023, the company had put into production a total of 1.02 million kilowatts of new energy installed, up from + 96.7% at the end of 2022. We have made it clear before that: under the joint action of the urgent demand for new energy development in Yunnan Province and the improvement of the company's internal governance level, the company's new energy installation will continue to grow highly. no, no, no. The company has completed the equity acquisition of Shixin Company (66,000 kilowatts), and the work of wind power projects such as the remaining units of Yongning Project, Admiralty Phase I and Jian Reservoir are still advancing in an orderly manner, and we believe that the subsequent production and installation growth of new energy is expected to exceed expectations.
The profit of incremental new energy projects is higher than expected, and the performance is expected to break out. The company's 1H23 generating capacity is 1.09 billion kWh, + 191% compared with the same period last year; in the same period, the net profit of the company's wind power division is 240 million yuan, + 107% compared with the same period last year. We speculate that the substantial increase in wind power business profits is mainly due to the higher-than-expected profitability of new wind power projects and the improvement of internal wind resources in Yunnan Province compared with the same period last year. We expect that the profitability of the company's new new energy projects is expected to maintain a high level in the future, and 2H23E's performance is expected to maintain high growth as new energy projects under construction are put into production.
Risk tips: electricity demand is not as expected, salt and nitrate business is not as expected, and so on.