SRBC(600039)2024-09-02 05:01Investment Rating - The report maintains a "Buy" rating for the company [4][6] Core Views - The company's performance has been under pressure due to slow project advancement, but there are optimistic prospects for new business segments [1] - The company achieved a revenue of 45.78 billion yuan in H1 2024, a year-on-year decrease of 31.16%, and a net profit attributable to shareholders of 3.195 billion yuan, down 43.47% year-on-year [1] - The new business segment, particularly in mineral resources and clean energy, is progressing steadily, with a focus on leveraging road network assets to acquire clean energy project resources [1][2] Financial Performance Summary - In H1 2024, the company reported revenues from different segments: engineering construction (41.793 billion yuan, -28.57% YoY), mining and new materials (1.136 billion yuan, -19.20% YoY), and clean energy (263 million yuan, +168.56% YoY) [2] - The gross margins for these segments were 14.78%, 12.28%, and 40.49% respectively, with clean energy showing significant improvement [2] - The company has built 13 distributed photovoltaic projects and is advancing 12 more, with a total clean energy capacity of approximately 5.4 GW [2] Cash Flow and Expense Rate - The company's gross margin for H1 2024 was 15.9%, a slight decrease of 0.2 percentage points year-on-year, primarily due to the decline in profitability from the engineering segment [3] - The operating cash flow for H1 2024 was -4.723 billion yuan, an increase in cash outflow of 182 million yuan year-on-year [3] Valuation and Future Projections - The report adjusts the profit forecast for 2024-2026 to 9 billion, 9.7 billion, and 10.6 billion yuan respectively, down from previous estimates [4] - The company is expected to maintain a high dividend payout ratio of at least 50% of the net profit for the years 2022-2024, with a current dividend yield of 9.15% [1][4]