Jereh Group(002353) 国元证券·2025-04-26 13:45Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected stock price increase of over 15% compared to the benchmark index [5][12]. Core Views - The company achieved a revenue of 13.355 billion yuan in 2024, a year-on-year decrease of 4.00%, while the net profit attributable to shareholders increased by 7.03% to 2.627 billion yuan [1][5]. - The overseas market potential is highlighted, with a focus on stable growth and improved product structure in international sales [2][4]. Financial Performance Summary - In Q4 2024, the company reported revenue of 5.308 billion yuan, a year-on-year increase of 2.95%, and a net profit of 1.029 billion yuan, up 15.51% [1][2]. - The company’s gross margin for 2024 was 33.70%, an increase of 0.65 percentage points year-on-year [3]. - Research and development expenses were 506 million yuan, a slight decrease of 1.07% compared to the previous year [3]. Market and Industry Outlook - The global energy consumption is expected to grow steadily due to moderate economic recovery, with fossil fuels remaining the primary supply source [4]. - The company is positioned to benefit from the increasing activity in the oil and gas market, with new orders and profits showing growth [4]. - A significant investment of 120 million USD was made to enhance the company's influence in the global oil and gas sector by establishing a high-end equipment manufacturing base in Dubai [4]. Earnings Forecast - The company is projected to achieve revenues of 15.478 billion yuan, 17.797 billion yuan, and 20.400 billion yuan for 2025, 2026, and 2027 respectively, with net profits of 2.948 billion yuan, 3.471 billion yuan, and 4.017 billion yuan [5][7]. - The expected earnings per share (EPS) for the same years are 2.88 yuan, 3.39 yuan, and 3.92 yuan, with corresponding price-to-earnings (P/E) ratios of 10.42, 8.85, and 7.65 [5][7].