Envicool(002837) Great Wall Securities·2024-07-15 03:01Investment Rating - The report maintains a "Buy" rating for the company, with expected PE ratios of 32x, 25x, and 19x for 2024, 2025, and 2026, respectively [4] Core Views - The company's Q2 2024 performance shows rapid growth, with estimated net profit attributable to the parent company ranging from 103 to 131 million yuan, a year-on-year increase of 54%-96% and a quarter-on-quarter increase of 66%-111% [1] - The company's liquid cooling technology is accelerating its adoption, with a cumulative delivery of 900MW for liquid cooling projects as of March 2024 [12] - The company's energy storage business continues to grow, with significant achievements in expanding both domestic and international customers [2][15] Financial Performance - Revenue is expected to grow from 2,923 million yuan in 2022 to 8,352 million yuan in 2026, with a CAGR of 30.1% [1] - Net profit attributable to the parent company is projected to increase from 280 million yuan in 2022 to 862 million yuan in 2026, with a CAGR of 32.5% [1] - ROE is expected to improve from 13.1% in 2022 to 23.9% in 2026 [1] - EPS is forecasted to rise from 0.38 yuan in 2022 to 1.17 yuan in 2026 [1] Business Highlights - The company's data center liquid cooling solutions, particularly the Coolinside platform, have gained significant traction, with a comprehensive product line covering various components of liquid cooling systems [12] - The company has been recognized as the "Best Equipment Supplier" and "Most Influential Enterprise" in the energy storage industry for 2024 [2] - The company's BattCool energy storage liquid cooling solution has been successfully deployed in a 5MWh high-density energy storage system, showcasing its innovation in the sector [12] Industry Outlook - The demand for digital infrastructure and energy storage power station construction is expected to drive the adoption of liquid cooling technology, benefiting the company's leading position in the market [12] - The company's strong brand and customer base in the energy storage sector, coupled with continuous innovation, position it well to capitalize on the growing demand for energy storage solutions [15]