HANGYANG LIMITED(002430) 浙商证券·2024-11-24 05:23Investment Rating - The investment rating for the company is "Buy" [4]. Core Views - The report highlights the acquisition of Yingde Gas by Hangzhou Capital as a significant step forward for Hangyang Co., indicating a strategic shift in ownership structure and investment approach [2]. - The company is positioned for substantial growth driven by increasing demand in the industrial gas market, with expectations of a compound annual growth rate (CAGR) of 6-8% from 2021 to 2025 [2]. - The report anticipates that Hangyang's market share in the third-party gas supply market will increase significantly, potentially reaching 30-40% by 2025, up from 9% in 2021 [2]. - The profitability of the company's gas business is expected to improve due to a shift towards higher-margin retail gas products, particularly in the electronic specialty gas segment [2]. Summary by Sections Acquisition Details - The original acquisition plan involved Hangzhou Capital as the primary shareholder of SPV1 to acquire 100% of Yingde Gas, but this plan was altered due to unmet conditions [2]. - The new plan involves the establishment of SPV2 with multiple investors, where Hangzhou Capital's subsidiary will hold a 19.55% stake, thus not being the largest shareholder [2]. Market Growth and Company Positioning - The industrial gas market in China is projected to reach nearly 200 billion yuan, with a notable increase in the outsourcing market share from 41% in 2021 to an expected 45% by 2025 [2]. - The company’s gas business revenue is forecasted to grow at a CAGR of 23% from 2022 to 2025, with gas revenue expected to account for over 75% of total revenue by 2025 [8]. Financial Projections - The forecasted net profit for Hangyang from 2024 to 2026 is expected to be 1.03 billion yuan, 1.34 billion yuan, and 1.62 billion yuan respectively, with corresponding year-on-year growth rates of -15%, 30%, and 21% [3]. - The report provides a price-to-earnings (P/E) ratio forecast of 24, 18, and 15 for the years 2024, 2025, and 2026 respectively, indicating a favorable valuation trend [3].