ZZEPC(600023) 国金证券·2024-10-30 10:14Investment Rating - The report maintains a "Buy" rating for the company [3][9]. Core Views - The company reported a significant increase in electricity generation in Q3 2024, with a year-on-year growth of 17.4% in electricity output, driven by new unit production and increased demand in Zhejiang province [3][4]. - The report highlights a narrowing of the coal-electricity price gap, which may pressure the company's profit margins in the upcoming quarters [3][4]. - The company's revenue for the first three quarters of 2024 was 66.3 billion RMB, a decrease of 4.6% year-on-year, while net profit increased by 12.4% to 6.7 billion RMB [3][4]. Summary by Sections Financial Performance - For Q3 2024, the company achieved revenue of 26.1 billion RMB, down 5.9% year-on-year, and a net profit of 2.77 billion RMB, down 12.9% [3][4]. - The company expects net profits for 2024, 2025, and 2026 to be 7.46 billion RMB, 8.74 billion RMB, and 10.89 billion RMB respectively, with corresponding EPS of 0.56, 0.65, and 0.81 RMB [3][4]. Operational Analysis - The increase in electricity output is attributed to the commissioning of new units and favorable weather conditions leading to higher demand [3][4]. - The report notes that the company's coal price decreased by 17 RMB/ton year-on-year, which contributed to a reduction in fuel costs [3][4]. Valuation Metrics - The current stock price corresponds to a P/E ratio of 11 times for 2024, 9 times for 2025, and 7 times for 2026 [3][4]. - The report suggests that the company is well-positioned for future growth despite current challenges in the coal and electricity markets [3][4].