Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected price increase of over 15% in the next 6-12 months [2][10]. Core Views - The company reported a revenue of 2.41 billion yuan for the first half of 2024, a year-on-year decrease of 2.22%. It also recorded a net loss attributable to shareholders of 194 million yuan, compared to a net profit of 189 million yuan in the same period of 2023 [2][3]. - The decline in revenue is attributed to a significant drop in various service revenues, including a 56.5% decrease in non-owner value-added services and a 43.9% decrease in smart technology services [3]. - The company is focusing on improving operational efficiency and optimizing its property management portfolio, resulting in a 6.69% decrease in managed area and a 9.92% decrease in contracted area year-on-year [3]. - The company has been actively repurchasing shares, spending 180 million HKD to buy back 25.96 million H shares, which represents 4.1% of the total share capital at the beginning of the period [3]. Financial Performance - The company expects to turn a profit in the full year 2024, with projected net profits of 540 million yuan, 580 million yuan, and 620 million yuan for 2024-2026, reflecting year-on-year growth rates of 7.5% and 6.6% for 2025 and 2026, respectively [4]. - The price-to-earnings (P/E) ratios for 2024-2026 are projected to be 7.7x, 7.2x, and 6.7x, respectively, indicating a potentially undervalued stock [4]. Key Financial Metrics - The company reported a revenue of 4.98 billion yuan in 2023, with a slight decline from 5.00 billion yuan in 2022. The expected revenue for 2024 is 5.29 billion yuan, with a growth rate of 6.27% [5]. - The net profit attributable to shareholders is projected to recover from a loss of 951 million yuan in 2023 to a profit of 537 million yuan in 2024 [5]. - The diluted earnings per share (EPS) is expected to improve from -1.54 yuan in 2023 to 0.87 yuan in 2024 [5].
金科服务：夯实发展质量，减值后再出发