储能业务：盈利能力改善，积极开拓海外市场。2024H1 公司储能业务实现营收7.4 亿元，同比-25%；毛利率为20%，较上年全年提升4pct。2024H1，公司实现了中广核江苏如东200MW/400MWh 共享储能电站项目、安徽无为100MW/200MWh 共享储能项目等的交付。公司加大海外储能业务的拓展，重点开发欧洲，中东以及东南亚市场。海外优质本地合作伙伴，共同开拓海外储能市场。公司与沙特企业ECC 的储能PACK 合资工厂，已于沙特吉达开工建设，预计2024Q4 实现投产。Incident: The company released its 2024 semi-annual report, 2024H1. The company achieved operating income of 3.463 billion yuan, +7.86% year over year; realized net profit of 0.599 billion yuan, +3.02% year over year; realized net profit deducted from non-mother 0.566 billion yuan, +2.45% year over year. Among them, 2024Q2 achieved operating income of 1.909 billion yuan, -11.04% YoY; realized net profit of 0.381 billion yuan, or -0.95% YoY; and realized net profit of 0.368 billion yuan without return to mother, or -0.64% YoY.
Comment:
Intelligent business: Domestic and foreign orders performed well. 2024H1's electricity meter business achieved revenue of 1.15 billion yuan, +12% year over year; gross margin was 39%, an increase of 4 pcts over the full year of the previous year. For 2024H1, the company won a total bid amount of about 0.322 billion yuan in the State Grid 2024 electric energy meter (including electricity consumption information collection); in the Southern Grid 2024 measurement product framework tender project, the total bid amount was about 0.322 billion yuan. In overseas markets, the subsidiary EGM won more than 0.8 billion yuan in contracts this year. In the Middle East region, ECC has broadened the scope of cooperation in the form of strategic investment with well-known local companies, and the cumulative order amount has exceeded 1 billion yuan.
Energy storage business: Improve profitability and actively explore overseas markets. 2024H1's energy storage business achieved revenue of 0.74 billion yuan, -25% year-on-year; gross margin was 20%, an increase of 4 pcts over the full year of the previous year. With 2024H1, the company achieved delivery of the CGN Jiangsu Rudong 200mW/400MWh shared energy storage power plant project and the Anhui Wuwei 100mW/200MWh shared energy storage project. The company is expanding its overseas energy storage business, focusing on developing the European, Middle Eastern and Southeast Asian markets. Overseas high-quality local partners to jointly explore overseas energy storage markets. Construction of the energy storage PACK joint venture plant between the company and Saudi company ECC has begun in Jeddah, Saudi Arabia, and is expected to be put into operation in 2024Q4.
New energy business: Accelerate the construction of new energy power plants and their connection to the grid. 2024H1's power plant sales business achieved revenue of 0.948 billion yuan, with a gross margin of 16%, an increase of 5 pct over the full year of the previous year. 2024H1 added more than 200MW of grid-connected projects, more than 500MW of new construction projects, and 1,200MW of projects currently under construction. By the end of June 2024, the installed capacity of the power plant project contracted by the company reached 14.65 GW, and the operation and maintenance capacity increased by 50% year-on-year.
Profit forecast, valuation and rating: We maintain the company's 24-26 profit forecast. We expect the company to achieve net profit of 1.174/1.379/1.623 billion yuan in 24-26. The current stock price corresponds to a 24-26 PE of 11/9/8 times. The accelerated growth of the company's electricity meter business and the overall layout of the energy storage business will provide strong growth momentum for the company's future development and maintain a “buy” rating.
Risk warning: Project construction and policies fall short of expectations, fierce market competition, overseas business development falls short of expectations