SSC(600871) 光大证券·2024-11-04 00:43Investment Rating - The report maintains an "Accumulate" rating for both A-shares and H-shares of the company [2][10]. Core Views - The company has won a significant natural gas pipeline project worth approximately RMB 45.86 billion, which represents 5.73% of its revenue for 2023, indicating a strong market position and growth potential [4][6]. - The shareholding structure is optimized with the transfer of shares from Sinopec Group to China National Petroleum Corporation, enhancing strategic cooperation and resource sharing between two major energy giants [5]. - The company has seen a steady increase in new contracts, with a total of RMB 750.7 billion signed in the first three quarters of 2023, marking a 6.2% year-on-year growth [6][10]. Summary by Sections Project Wins - The company has secured a major contract for the construction of the Sichuan Gas East Send Pipeline, which spans approximately 834 kilometers and has a construction period of 1000 days [4][6]. Shareholding Structure - The share transfer from Sinopec Group to China National Petroleum Corporation has been approved, which will enhance governance and market recognition for the company [5]. Market Expansion - The company has successfully expanded its domestic and international markets, with significant contracts in the Middle East and a projected new contract amount exceeding RMB 900 billion for 2024 [6][10]. Financial Performance - The company is expected to achieve net profits of RMB 10.08 billion, RMB 12.62 billion, and RMB 14.50 billion for the years 2024 to 2026, respectively, with corresponding EPS of RMB 0.05, RMB 0.07, and RMB 0.08 [10][12].