Incident: The company announced the “Double Improvement of Quality and Return” action plan to implement the “investor-oriented” development concept of listed companies and safeguard the interests of all shareholders of the company. Based on confidence in the company's future development prospects and recognition of value, the company will actively take measures to implement the “Double Improvement of Quality and Return” action plan to maintain the stability of the company's stock price and establish a good market image.
Inverter leaders focus on improving quality and efficiency in their main business, laying out strategic tracks to cultivate medium- to long-term growth points, and have plenty of room for growth. As a leading manufacturer of optical storage inverters, the company has been deeply involved in inverters for nearly 20 years. It has been in the top three global shipments in '22, and its brand strength has been fully trusted by the market. Technically, the company continues to iteratively update its products. Recently, it has been upgraded to the sixth-generation technology platform, which has achieved multi-dimensional progress in the four aspects of product performance, functionality, reliability and cost performance. In '23, due to the slowdown in overseas demand growth, dealers accumulated a lot of inventory, and the company's shipments slowed down. Looking ahead to 24, demand for grid-connected inverters has improved markedly since October 23. We expect energy storage to improve in 24Q1, driving the company's performance to resume growth. We expect to ship 900,000 units+ of inverters in '24, an increase of 25% +. Subsequent industrial and commercial storage business and grid-connected channel reuse, with plenty of room for growth.
The company continues to use share repurchases and cash dividends to repay investors and boost market confidence.
Since its listing in March 19, the company has continuously implemented cash dividends totaling 501 million yuan, accounting for 25.3% of the cumulative net profit for the period. 23/8/24 The chairman of the company proposed to buy back the company's shares through centralized bidding and use it for share incentives or employee stock ownership plans at an appropriate time in the future. As of 24/1/31, the company had repurchased a total of 689,000 shares, accounting for 0.17% of the company's share capital. The company continues to coordinate the dynamic balance between company development, performance growth and shareholder returns to enhance investors' sense of attainment.
Profit forecast and investment rating: Considering European inventory pressure, we lowered our profit forecast. We expect the company's net profit to be 9.8/14.1/1.89 billion yuan in 23-25, -8%/+44%/+34% year-on-year. We maintain a “buy” rating.
Risk warning: increased competition, policies falling short of expectations, etc.