公司Q3 单季度实现营业收入157.85 亿元，同比增长32.38%，公司特高压及电网智能化、工业与新能源智能、海洋能源与通信等相关业务保持了较快增长。同时截至Q3 末公司合同负债达到48.49 亿元，对比去年同期（35.92亿元）提升35%，我们认为公司各项业务后续增长动能仍强劲！Incidents:
Hengtong Optoelectronics released its report for the third quarter of 2024. In the first three quarters, it achieved operating income of 42.399 billion yuan, a year-on-year increase of 20.79%, and realized net profit of 2.315 billion yuan, an increase of 28.32% over the previous year, after deducting non-net profit of 2.208 billion yuan, an increase of 30.2% over the previous year.
Accelerated revenue growth:
The company achieved revenue of 15.785 billion yuan in a single quarter, up 32.38% year on year. The company maintained relatively rapid growth in UHV and power grid intelligence, industrial and new energy intelligence, marine energy and communications related businesses. At the same time, as of the end of Q3, the company's contract debt reached 4.849 billion yuan, an increase of 35% compared to the same period last year (3.592 billion yuan). We believe that the company's business growth momentum is still strong.
Single Q3 deduction is not comparable +41%, profit quality continues to improve
The company achieved net profit of 0.705 billion yuan in a single quarter, an increase of 27.25% over the previous year, deducted non-net profit of 0.693 billion yuan, a year-on-year increase of 40.94%, and improved profit quality. In terms of gross margin, the company achieved 15.15% in the first three quarters, a year-on-year decrease of 1.88pct; in terms of expenses, the company achieved results in controlling expenses. Sales/management/R&D/finance expenses in a single quarter were 1.71%/2.32%/3.28%/0.56%, respectively, with a year-on-year change of -0.50/-0.55/-2.82/-0.49pct. We look forward to the continuous improvement of the company's profitability and profit quality.
Recently, sea breezes have continued to progress
Recently, the Guangdong Ocean Wind 1,400MW project bid for fans (Jiangmen River Island 1, Sanshan Island 5, Red Bay 3), and Fanshi 1 seabed cable was tendered. Meanwhile, on October 30, the General Office of the Shanghai Municipal People's Government issued the “Three-Year Action Plan for the Construction of a Beautiful Shanghai (2024-2026)” to launch a million-kilowatt deep-sea offshore wind power demonstration project, etc., and the overall offshore wind power industry continues to advance. We believe that it is worth looking forward to the continued upward trend of the offshore wind power industry.
There are plenty of orders in hand, and the Sea Breeze Project continues to reap benefits
By the end of Q3, the company had on-hand orders for energy interconnection fields such as submarine cables, marine engineering and land cable products, etc., and won the bid for the Shenneng Hainan CZ2 offshore wind power demonstration project in 2024, Shandong Energy Bozhong Offshore Wind Power G Site Project, Datang Hainan Danzhou Offshore Wind Power Project, Huarun Southeast Coastal Offshore Wind Farm Project, Southeast Coast Wind Farm Project, Southeast Coast Fan Optimization and Upgrade Project, Croatia Medium Voltage Submarine Cable Project, Iceland VMJ Submarine Cable Project, etc. Ocean energy projects. At the same time, it continues to expand production capacity. The company is accelerating the production capacity increase of the first phase of the Jiangsu Sheyang submarine cable production base, while actively promoting the construction of the Sheyang base phase II and the Jieyang marine energy production base.
Comprehensive domestic and international layout
Overseas division, the company established overseas markets earlier, has many case experiences, and continues to grow in international popularity. With the “Belt and Road” approach, the business landscape continues to expand, successively merging and acquiring well-known local companies such as PT Voksel in Indonesia, Aberdare in South Africa, Cablescom in Spain, and Alcobre in Portugal; it has established 12 overseas industrial bases in Spain, Portugal, Germany and other places to undertake more than 100 engineering projects; the business covers more than 150 countries and regions, including almost every country in Southeast Asia, and has successful project experience in many countries, and can provide high-quality power transmission product services, high-quality construction and integrated operation and maintenance solutions. A leading manufacturer in the field of overseas business, continuous breakthroughs in overseas projects are worth looking forward to in profit forecasts and investment returns:
We expect the company's net profit to be 2.8/3.5/4.3 billion yuan for 24-26, corresponding to the 24-26 PE valuation of 15/12/10 times, respectively, to maintain a “buy” rating.
Risk warning: the risk of increased competition in the industry, the risk that the pace of project progress falls short of expectations, the risk that optical communication demand falls short of expectations, etc.
