The beginning shows the leading style of China Tianying's first quarterly report performance greatly exceeded expectations

Radar Financial News With the release of the first quarter reports of listed companies in 2024, China Tianying also disclosed the first quarter report of 2024 on the evening of April 29. During the reporting period, the company achieved operating income of 1.252 billion yuan, an increase of 12.08% over the same period of last year, net profit attributable to shareholders of listed companies of 202 million yuan, an increase of 339.16% over the same period of last year, and earnings per share of 0.08 yuan/share, an increase of 300% over the same period of last year. China Tianying will show its leading style at the beginning of 2024.

In this regard, China Tianying said that the good results of the first quarterly report are due to the company's continuous and in-depth promotion of the "environmental protection + new energy" dual-engine driven development strategy featuring "domestic and international" dual circulation. While basing itself on the traditional environmental protection industry, we will take gravity energy storage as the entry point, connect the upstream and downstream of the new energy industry chain, develop new energy industries such as wind power, photovoltaic, energy storage, and the integration of wind and solar hydrogen storage and ammonia, comprehensively enter the new energy track, create a second growth curve, and become the world's leading environmental protection + new energy enterprise with core technology and key resources.

In the evening, the company also disclosed the 2023 annual report, saying that after overcoming the lag effect of the epidemic, international market policies, economic and other factors, the annual operating income was 5.324 billion yuan, the net profit was 384 million yuan, an increase of 216.04% over the same period of the previous year, and the earnings per share were 0.14 yuan per share, an increase of 180% over the same period of the previous year, and a profit distribution plan of 0.21 yuan (tax included) was distributed to all shareholders for every 10 shares.

Great good - domestic stabilization, overseas detonation

From a global point of view, the performance of China Tianying's overseas business is gratifying, ushering in an explosive period of high profit growth; from a domestic point of view, the macro economy continues to stabilize and rebound, and the traditional environmental protection business takes the lead in benefiting, and at the same time, the outbreak of new energy track also promotes the company's performance to climb the second growth curve.

Specifically, as of the end of 2023, China Tianying's overseas business has covered Vietnam, Singapore, India, Maldives, Indonesia, France and other regions in Southeast Asia, South Asia, Western Europe and other regions. Among them, overseas waste-to-energy projects have been implemented in Vietnam, Singapore, Indonesia and other countries. It is worth mentioning that the waste-to-energy project in Hanoi, Vietnam, with a daily processing capacity of 4,000 tons, has been put into commercial operation, and the actual daily waste processing capacity has exceeded 4,000 tons.

At the same time, China Tianying has the world's top equipment manufacturing capacity at multiple nodes in the whole solid waste environmental protection industry chain. With the expansion of China's advanced manufacturing industry, the company has signed a number of environmental protection equipment sales contracts or project design and procurement contracts with Suez Group of France, Hyderabad of India, Maldives, etc. The company has signed strategic cooperation agreements with Saudi Arabia and other partners, and set up local investment platform companies in the United Arab Emirates, Malaysia and other places to further increase the development of environmental protection and new energy projects in the regional market.

For the environmental protection business, China Tianying has always been taking the pulse of the changes in the market trend, guided by policies, and digging deep into the growth potential of the environmental protection business. With the continuous release of production capacity of overseas projects under construction, the operating projects have broadened the channels for cost reduction and efficiency increase, which will undoubtedly further improve the company's operating performance and profitability.

In the future, the company can achieve profitability through various ways such as peak-to-valley arbitrage, ancillary service charges, capacity leasing, EPC construction, etc., and the opening of the integrated industrial chain of wind, solar, hydrogen storage, ammonia and alcohol will also bring huge environmental and social benefits, thereby supporting the continuous explosion of the company's performance.

Cohesion - environmental protection + new energy, two wheels go hand in hand

The dual-engine strategy of "environmental protection + new energy" has become a "hematopoietic" weapon for China Tianying. The company has made breakthroughs in business expansion and industrial layout, and has embarked on a new journey of transformation and upgrading to a comprehensive green energy operator in the modern energy system.

This is China's Tianying's "response" to market demand. According to the data, by the end of 2023, the cumulative installed capacity of new energy storage projects that have been completed and put into operation across the country will reach 31.39 million kW/66.87 million kWh, with an average energy storage duration of 2.1 hours. In 2023, the new installed capacity will be about 22.6 million kW/48.7 million kWh, an increase of more than 260% from the end of 2022. From the perspective of investment scale, since the "14th Five-Year Plan", the new new energy storage capacity has directly promoted economic investment of more than 100 billion yuan, driven the further expansion of the upstream and downstream of the industrial chain, and become a "new driving force" for the mainland's economic development. New energy storage has increasingly become a key technology for the construction of a new energy system and a new power system in the mainland, and the development of the industry has ushered in an unprecedented development window period, and the demand for energy storage has exploded.

China Tianying has reviewed the situation and taken energy storage as the entry point, mastered the key technologies of gravity energy storage through absorption and re-innovation, and gradually increased R&D investment in core areas of clean energy such as gravity energy storage and green hydroammonia. In the golden period of rapid development of new energy storage, the company took the lead in successfully developing the world's largest and leading "100MWh gravity energy storage complete set of equipment" in China, and obtained the first (set) major technical equipment from the National Energy Administration. The company's 26MW/100MWh gravity energy storage project in Rudong, Jiangsu Province and 17MW/68MWh gravity energy storage project in Zhangye, Gansu Province have also been selected as new energy storage demonstration projects by the National Energy Administration.

The reporter learned that China Tianying is actively opening up the wind and solar hydrogen storage ammonia alcohol industry chain and systematically building a new energy development ecology. The wind-solar, hydrogen-storage, ammonia-alcohol integration project is an important component of the hydrogen energy industry, a strategic emerging industry and a future industry, and an important measure to develop new quality productivity. Up to now, China Tianying has signed strategic cooperation agreements with governments or central enterprises in Northeast China and Inner Mongolia to jointly invest in the construction of wind, solar, hydrogen storage, ammonia alcohol integration projects. In the future, it is bound to bring more than expected impact to the company and even the entire industry.

Confidence – clear goals and unity

Recently, the executives and core technical backbones of China Tianying took the initiative to increase their holdings by more than 3,000 yuan in the secondary market, demonstrating their confidence in the company's future development with practical actions, and the management team said that the company will grasp the good opportunity for macroeconomic stability and the rapid development of new energy, and successfully complete the company's performance assessment goals.

China Tianying said that in 2024, it will further promote refined management, give full play to the core advantages of gravity energy storage technology while consolidating the main business of environmental protection, continue to expand application scenarios, promote the implementation of projects in the new energy sector, continuously improve the new energy industry chain and development system, and reward investors with excellent performance.