Event: according to the company's semi-annual report for 2023, 2023H1 achieved 520 million yuan in operating income, down 20.08% from the same period last year, and its net profit was 58 million yuan, down 38.88% from the same period last year. 23Q2 realized 24 million yuan in net profit, 55.23% lower than the same period last year, and 29.41% lower than the previous year.
The sale of power plants will lead to phased pressure on profits, and continue to promote the transformation of new energy power plants from external construction to self-support.
(1) the operating income of 2023H1's renewable energy power generation business decreased by 18.06% to 238 million yuan compared with the same period last year, and the gross profit margin decreased by 2.50 pct to 62.93% compared with the same period last year, mainly due to the decrease in operating income due to the sale of self-owned new energy projects in 22 years. (2) the operating income of 2023H1's renewable energy engineering business decreased by 92.99% to 6.3233 million yuan compared with the same period last year, and the gross profit margin increased by 26.42 pct year-on-year to 42.03%, mainly because the company continued to promote the self-supporting transformation of new energy power plants. (3) the operating income of 2023H1's intelligent assembly manufacturing business decreased by 30.84% to 125 million yuan, and the gross profit margin decreased slightly by 0.76 pct to 21.19% compared with the same period last year.
The scale of renewable energy projects on hand can be maintained by selling power stations to protect the company's performance.
As of the end of 2023H1, the company operates new energy power plant scale 1099.35MW, including self-owned 639.85MW, including photovoltaic 298.6MW and wind power 341.25MW (in which 100MW is under construction), and holds 459.5MW as a minority shareholder (49% equity), including photovoltaic 110MW and wind power 349.5MW (all connected to the grid). In 2023, the company will further increase the investment and construction of renewable energy power plants, improve the company's profitability, and choose the opportunity to sell part of the stake in the power plant to optimize the asset structure.
The comprehensive smart energy business has an outstanding performance and is expected to continue to increase profits in the future.
The operating income of 2023H1's comprehensive smart energy business increased by 223.81% to 123 million yuan compared with the same period last year, and the gross profit margin increased by 20.02 pct to 2.16% compared with the same period last year, mainly due to the contribution of income from grid-connected power generation of two biomass cogeneration projects, Tailai and Fufu. Until 2023H1 owns the comprehensive smart energy project 660MW/400MWh (in which 160MW has been connected to the grid) and holds large-scale 80MW as a minority shareholder (49%), with the gradual completion of the above-mentioned projects, it is expected to continue to increase the company's profits.
Maintain the "overweight" rating: we maintain the original profit forecast and expect the company's 2023-25 net return profit to be 2.46 PE 3.84 million yuan, corresponding to 0.42 PE 0.53 trillion, and the current share price 23-25 times that of 13-10-8. The company continues to promote investment in the construction of renewable energy power stations, the superimposed active layout of biomass energy and energy storage projects is expected to increase the company's profits, the company's performance is expected to grow steadily, and maintain the "overweight" rating.
Risk hint: the installed capacity of new energy is not as expected; the investment in power grid is not as expected; the operation risk of biomass cogeneration project.