Valin Steel(SZ:000932) Xin Lang Cai Jing·2025-10-28 06:32Core Insights - The company reported a revenue of 95.048 billion yuan for the first three quarters of 2025, a year-on-year decrease of 14.88%, while achieving a net profit attributable to shareholders of 2.510 billion yuan, an increase of 41.72% [1] - The company is actively conducting feasibility studies for the VAMA Phase III project, with agreements signed with ArcelorMittal for advanced steel grades, and some grades have entered trial production [1] - The company has launched a 200,000-ton non-oriented silicon steel production line in August 2025, with expectations of significant loss reduction or profitability for the silicon steel subsidiary by the end of the year [2] Financial Performance - In Q3 2025, the company achieved a revenue of 31.955 billion yuan, a year-on-year decrease of 10.53% and a quarter-on-quarter decrease of 2.76%; net profit attributable to shareholders was 762 million yuan, a year-on-year increase of 73.22% but a quarter-on-quarter decrease of 35.80% [1] - The net profit after deducting non-recurring items for Q3 2025 was 772 million yuan, which is slightly above the average of 761 million yuan for the first half of the year [1] Production and Development - The first production line for oriented silicon steel with an annual capacity of 100,000 tons was fully operational in April 2025, with successful product development and customer certification [2] - The second 200,000-ton non-oriented silicon steel production line began operations in August 2025, with strong demand from core customers in the home appliance and new energy vehicle sectors [2] Shareholder Returns - The company has progressively increased its cash dividend payout ratio from 21% in 2021 to an expected 34% in 2024, with a total cash dividend and buyback ratio projected to reach 44%-54% [2] - Following the completion of ultra-low emission upgrades, the company anticipates a decrease in capital expenditures in the environmental sector, which may lead to further increases in dividend payouts post-2026 [2] Profit Forecast and Valuation - The company is projected to achieve net profits attributable to shareholders of 4.012 billion yuan, 4.373 billion yuan, and 4.760 billion yuan for the years 2025, 2026, and 2027, respectively [3] - The company maintains an "overweight" rating based on its position as a leading player in the steel industry and the potential for further product high-endization [3]