Investment Rating - The report maintains a "Buy" rating for the company with a target price of HKD 1.93 [4][6]. Core Insights - The company's operating profit for Q1 2025 increased by 0.2% year-on-year to HKD 430 million, which is significantly lower than the 30.8% growth seen in Q1 2024. The operating profit margin decreased by 0.6 percentage points to 20.7% [1][11]. - Total revenue for Q1 2025 grew by 3.0% year-on-year to HKD 2.09 billion, also lower than the 17.8% growth in Q1 2024. Revenue from Hong Kong and Macau increased by 9.8% to HKD 1.36 billion, accounting for 64.9% of total revenue [1][11]. - New contract signings for Q1 2025 rose by 0.6% year-on-year to HKD 3.72 billion, which is below the 4.9% growth in Q1 2024. The company secured several high-quality curtain wall projects [2][11]. Financial Summary - The company reported actual revenues of HKD 7.67 billion in 2022, with projections of HKD 9.55 billion for 2025 and HKD 11.33 billion for 2026, reflecting growth rates of 17.9% and 18.6% respectively [5][12]. - Shareholder net profit was HKD 422 million in 2022, expected to rise to HKD 727 million in 2025 and HKD 905 million in 2026, with growth rates of 11.7% and 24.5% respectively [5][12]. - The forecasted price-to-earnings ratio for FY25 is 4.4 times, indicating a low valuation compared to the target price [4][6].
中国建筑兴业：25Q1业绩平稳-20250416