CBC(SH:600132) Orient Securities·2024-08-17 13:03Investment Rating - The report maintains a "Buy" rating for the company with a target price of 64.90 CNY, based on a reasonable valuation level of 22 times the earnings for 2024 [4][6]. Core Views - The company reported a revenue of 8.86 billion CNY for the first half of 2024, representing a year-over-year increase of 4.2%, and a net profit attributable to shareholders of 900 million CNY, also up by 4.19% year-over-year [1]. - In Q2 2024, the company achieved a revenue of 4.57 billion CNY, which is a 1.5% increase year-over-year, but the net profit decreased by 6.0% to 450 million CNY [1]. - The sales volume and price per ton both increased in H1 2024, with the southern region leading revenue growth. The high-end product segment generated 5.26 billion CNY in revenue, up 2.8% year-over-year [1]. - The company is focusing on precise market expansion and accelerating its high-end product strategy, with investments in the Wusu brand and marketing efforts to enhance its national presence [1]. Financial Summary - The company’s revenue is projected to grow from 14.82 billion CNY in 2023 to 15.60 billion CNY in 2024, with a year-over-year growth rate of 5.3% [3]. - The net profit attributable to shareholders is expected to increase from 1.34 billion CNY in 2023 to 1.43 billion CNY in 2024, reflecting a growth rate of 6.8% [3]. - The earnings per share are forecasted to be 2.95 CNY in 2024, down from previous estimates of 3.80 CNY [2][6]. - The gross margin is expected to be 49.3% in 2024, slightly down from 49.1% in 2023 [3].