Huaxia energy network-Huaxia wind power (public number hxfd3060) learned that recently, wind power giant yunda shares (SZ:300772) released its 2023 annual report, with a revenue of 18.727 billion yuan for the whole year, up 7.72 year-on-year, the best result in history. Net profit attributable to the parent was 0.414 billion yuan, down 32.84 from the same period last year. Non-net profit was deducted from 0.311 billion yuan, down 45.32 from the same period last year.

In recent years, Yunda has been actively expanding its business boundaries beyond wind power. Prior to this, the company was renamed in October 2023, and its Chinese name was officially changed from "Zhejiang Yunda Wind Power Co., Ltd." to "Yunda Energy Technology Group Co., Ltd.". This annual report has also become its first annual report after the name change.

The signal released by updating "wind power" to "energy technology" is that "it indicates that Yunda Co., Ltd. is actively building a modern first-class new energy enterprise focusing on new energy and carbon emission management around the development of new energy and smart grid, energy storage, photovoltaic, hydrogen production and comprehensive energy."

However, in the process of comprehensive energy development direction layout, the financial status of Yunda Energy Technology still faces considerable challenges.

the main business income does not increase profits, gross profit decline is serious

The annual report shows that Yunda's main business is the research and development, production and sales of large-scale wind turbines, and the investment and operation of new energy power stations. At the same time, it actively cultivates smart service business, and expands energy storage, new energy project EPC general contracting, Diversified businesses such as grid-connected products and services, new energy digital products, and integrated energy services.

However, judging from the current business composition, its main wind power business, especially the whole machine business, accounts for the highest proportion of revenue.

Bloomberg New Energy Finance data shows that in the 2023 ranking of complete machine manufacturers, Yunda's new installed capacity ranked third in the country and the top four in the world, setting the best record in history. In terms of revenue, the annual report shows that the company achieved wind turbine sales revenue of 16.01 billion billion yuan and external sales capacity of 8466 MW, an increase of 18.94 percent over the same period last year, making a significant contribution to the annual operating income.

However, the wind power industry is still affected by the "price war". In 2023, the overall price of wind turbines showed a downward trend, and the gross profit margin also decreased. According to the data, Yunda's gross profit margin in 2023 was 13.07 per cent, down 22.91 per cent from the same period last year, which was an important reason for the decline in the company's net profit.

From the perspective of specific models, the company's annual sales of 4MW-6MW and 6MW-8MW models accounted for the largest proportion, which is also in line with the current trend of large-scale fan development. As early as 2020, the whole machine manufacturers have just launched 4-5MW onshore fan models. Three years later, the single machine capacity has exceeded double digits. In 2023, many complete machine manufacturers released 10 + MW land-based wind turbine models, while 5MW-7MW became the mainstream of delivery models.

in contrast, Sany Heavy Energy (SH:688349) said at the performance meeting in December last year that the average sales capacity of the models sold by the company in 2023 was more than 5MW. In the hand orders, the sales capacity of more than 5MW models accounted for nearly 90%,6.XMW and above models became the main models, and more than half of the 6.XMW models were delivered this year.

Yunda's 2023 order capacity for major models (source: annual results report)

In terms of customer structure, Yunda shares said that the proportion of customers of central state-owned enterprises has further increased, becoming the only wind turbine manufacturer to strategically take a stake in CLP Jianxin Energy, and has signed strategic cooperation agreements with Huaneng and Huadian.

The results of the "two seas strategy" need to be improved

in terms of the market, as early as 2022, Yunda shares officially launched the "two seas (offshore wind power + overseas) strategy", and achieved certain results in 2023, but it still needs to be improved.

In the domestic wind power machine listed companies, Shanghai Electric, Jinfeng Technology, Mingyang Intelligence and other head manufacturers began to layout offshore wind power business very early. Although Yunda shares have been established for a long time, but the layout of offshore wind power business is very late, in August 2022, only won the bid Guodian Xiangshan offshore wind power Xiangshan 1# offshore wind farm (phase II) factory wind turbine procurement project, to achieve a zero breakthrough in the offshore wind power market.

in 2023, yunda co., ltd. completed the full-capacity hoisting of the first offshore wind power project, totaling 504MW, winning the 297500-kilowatt offshore wind power project (including the first bid for the 16000-kilowatt floating offshore wind power project in wanning of china power construction). Despite the great progress, it is still far from the sea breeze head enterprise.

in 2023, yunda shares will be ranked third after jinfeng technology and prospective energy, before mingyang intelligence and Shanghai electric, but it will be far behind in the ranking of offshore wind power hoisting capacity.

in the overseas market, in 2023, yunda shares successfully won the bid for a 1.345 million-kilowatt overseas wind power project, with the overseas winning capacity increasing by more than 400 year on year. it successfully won the bid for the largest onshore wind power project in Europe, and achieved a breakthrough in the European market, delivering Serbia's first wind power project.

Yunda also said that the company has actively participated in overseas market bidding and has started cooperation with large foreign energy groups. In the future, it will accelerate the global strategic layout, increase the development of new overseas owners, increase the scale of overseas orders, and have obtained orders in Southeast Asia, Eastern Europe, Central Asia, South America and other regions.

As of now, there is still a lot of room for growth in overseas markets. According to the annual report, in 2023, the company's overseas revenue was about 0.263 billion yuan, accounting for 1.40 per cent of revenue, down 7.38 per cent from a year earlier.

as of today's close, yunda shares closed at 9.41 yuan per share, down 1.98, with a total market value of 6.607 billion yuan.

(please indicate the source for reprinting, source: Huaxia energy network, micro signal: hxny3060)