Dongxing Securities released a research report stating that Yuexiutransport (01052) released its interim report for the 24 years, with revenue of 1.83 billion yuan, a decrease of 5.6% year-on-year. Among them, toll revenue was 1.79 billion yuan, a decrease of 5.1% year-on-year. The net income attributable to the parent company was 0.314 billion yuan, a decrease of 26.5% year-on-year. The company's first-half performance was lower than expected due to a combination of various factors.
The bank stated that the company's toll revenue in the first half of 24 was 1.79 billion yuan, a decrease of 5.1% from the same period last year, due to a combination of multiple factors: 1. Before and after this year's Spring Festival, central provinces in China were severely affected by extreme freezing weather, and the company owns a large number of road assets in Henan and Hubei provinces, leading to a decrease in revenue; 2. In terms of road network diversion, the core road assets of the company, Guangzhou North Second Ring Road, had a year-on-year decrease in revenue of 7.4%, mainly due to the diversion of road assets to the newly opened Pupu Expressway; 3. The number of free holidays in the first half of this year increased by four days compared to the same period last year, which had a certain negative impact on revenue.
Considering that the company's first-half performance was lower than expected, the bank lowered the company's net income for 2024-2026 to 740 million yuan, 818 million yuan, and 897 million yuan, respectively, corresponding to EPS of 0.44 yuan, 0.49 yuan, and 0.54 yuan. The bank is bullish on the company's continuous performance growth and the prospect of the expansion and renovation of Guangzhou North Second Ring Road, and maintains a "strongly recommended" rating for the company.
