Jingu News | Everbright Securities issued a research report, stating that Sinopec SEG (02386) signed new contracts with a total value of 73.457 billion yuan in the first three quarters of 2024, a year-on-year growth of 65.6%. As of September 30, 2024, the company's uncompleted contract volume amounted to 165.773 billion yuan.

The bank pointed out that, in terms of industries, the new contracts signed by the company in the first three quarters of 2024 showed a diversified trend. The new contract amounts in the refining, new coal chemical, storage and transportation, and other industries grew rapidly, with year-on-year increases of +95%, +1850%, +256%, while the new contract amount in the petrochemical industry increased by +20% year-on-year. The proportion of new contracts in the petrochemical industry decreased from 80% in the first three quarters of 2023 to 58%. In the first three quarters of 2024, the proportion of internal contracts in China Petroleum & Chemical Corporation increased slightly from 30.3% in the first three quarters of 2023 to 41.7%, and the company's expansion into external markets gradually solidified. As of September 30, 2024, the company's order backlog reached 165.8 billion yuan, a 40% year-on-year increase, reaching a historical high, providing strong support for the company's future business development.

The bank stated that the company, backed by the resource advantages of CNI Resource Index, a subsidiary of Sinopec Group, continues to explore domestic and international markets, and its performance is expected to see rapid growth. Against the backdrop of state-owned enterprise reform, the company's undervaluation and high dividend value are highlighted. The bank maintains the company's profit forecast, expecting the company's net income attributable to shareholders for the years 2024-2026 to be 2.638 billion yuan, 2.915 billion yuan, and 3.182 billion yuan respectively, with corresponding EPS of 0.60, 0.66, 0.72 yuan/share. The bank maintains a "buy" rating for the company.