Steady growth in traffic flow, Guangdong Expressway A s share price hit a record high

Mondo Social Updated on 2024-02-06

On Monday, ** hit a new low since the adjustment, but the share price of Guangdong Expressway A (000429) bucked the market and hit a record high. On the 5th, Guangdong Expressway A opened slightly lower in early trading, and the stock price rose after the opening, hitting 985 yuan shares hit an all-time high, ** at 975 yuan shares, an increase of 428%, 19.2 billion yuan.

The main business of Guangdong Expressway A is the investment, construction, toll collection and maintenance management of toll expressways and bridges, and the company is one of the main institutions for the development of expressways and extra-large bridges in the expressway system of Guangdong Province, mainly engaged in the toll collection and maintenance of Guangzhou-Foshan Expressway, Fokai Expressway and Guangzhou-Zhuhai section of Beijing-Zhuhai Expressway.

Guangdong Expressway A recently released a performance forecast, which is expected to achieve a total revenue of 48 in 2023800 million yuan, a year-on-year increase of 17%; Net profit 16300 million yuan, a year-on-year increase of 28%. The company's net profit improved significantly, mainly due to: with the gradual recovery of the economy, the steady recovery of traffic volume; The depreciation of road assets in the northern section of Fokai has been accrued.

Recently, Guangdong Expressway A was investigated by Guotai Junan and Taikang Assets. When asked about the toll operation period of the holding expressway, Guangdong Expressway A said, "The toll operation period of the company's holding expressway is as follows: the northern section of Fokai Expressway (Xie Bian to Sanbao), and the toll operation period is until March 2036; The southern section (Sanbao to Shuikou) will be operated for a fee until June 2044; Guangzhou-Zhuhai section of Beijing-Zhuhai Expressway, with a toll operation period until May 2030; The section from Luogang to Shiwan of Guanghui Expressway will have a toll operation period until August 2029, the section from Shiwan to Xiaojinkou will have a toll operation period until August 2027, and the section from Xiaojinkou to Lingkeng will have a toll operation period until August 2027. ”

At present, the Guangzhou-Zhuhai section of the Beijing-Zhuhai Expressway, the shareholding project Jiangzhong Expressway, Shenzhen Huiyan Expressway and Guangdong-Zhaozhou Expressway are currently implementing reconstruction and expansion projects; The company's holding project, Guanghui Expressway, is carrying out the preliminary work of the reconstruction and expansion project. The company said that it will learn from the experience of the reconstruction and expansion of the north and south sections of the Fokai Expressway, do a good job in the traffic organization plan, minimize the closure of lanes and the closure time according to the traffic flow situation, retain enough lanes to pass, and minimize the impact of the reconstruction and expansion construction on the traffic flow.

Regarding the future dividend policy, Guangdong Expressway A said that the company disclosed the "Shareholder Return Plan for the Next Three Years (2021-2023)" on March 26, 2021 and passed the general meeting of shareholders for deliberation. In the dividend plan, it is proposed that under the premise that the distributable profit is positive and the cash can meet the company's continuous operation and long-term development, if there is no major investment plan or major cash expenditure, the company will distribute dividends in cash every year, and the dividends distributed in cash from 2021 to 2023 should meet the condition that "the annual profit distributed in cash shall not be less than 70% of the net profit attributable to the owners of the parent company in the consolidated statement realized in the current year".

Huatai ** believes that during the Spring Festival, the Guangdong Department of Transportation expects the province's high-speed traffic to increase by 6 percent year-on-year4%。Looking forward to 2024, the road network of Fokai and Guanghui Expressway is relatively stable, and the traffic volume is expected to grow steadily. Following the "Macao car northbound" and "Hong Kong car northbound", the "Guangdong car southbound" is expected to be promoted, and the Guangzhou-Zhuhai East Expressway is expected to increase the traffic flow due to the connection between Guangzhou and Zhuhai. It is estimated that the company's net profit in 2024 and 2025 will be 17800 million yuan, 18300 million yuan, with an expected dividend yield of 6 in 20231%, maintaining the investment rating of "**".

Reporter Tang Xiaofei.

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