Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 17.47 CNY per share, based on a 13x PE for 2024 [3][6]. Core Insights - The company reported a revenue of 3.431 billion CNY for the first half of 2024, representing a year-on-year increase of 20.76%, and a net profit attributable to shareholders of 232 million CNY, up 2013.39% year-on-year. In Q2 2024, revenue was 1.705 billion CNY, a 7.71% increase year-on-year, with a net profit of 99 million CNY, up 457.68% year-on-year, aligning with expectations [1][2]. - Profitability in Q2 2024 faced temporary pressure, with a gross margin of 11.24%, up 4.49 percentage points year-on-year but down 1.72 percentage points quarter-on-quarter. The net profit margin was 5.84%, up 4.72 percentage points year-on-year but down 1.98 percentage points quarter-on-quarter. The company anticipates price pressures on terminal food cardboard and the impact of high-priced pulp, but expects to improve profitability in H2 2024 through price increases, production of self-made pulp, and enhanced cost control [1][2]. - The company's core product output and sales showed stable growth, with a production volume of 580,800 tons of mechanical paper in H1 2024, a year-on-year increase of 20.57%, and sales of 566,100 tons, up 32.82% year-on-year. The company has diversified its product offerings, supporting future growth [1][2]. - The integration of pulp and paper production continues to advance, with 15 production lines established and a total designed capacity of 2.096 million tons. The company’s self-owned pulp line in Jiangxi has started production, aiding in cost reduction and smoothing out industry cycles [1][2]. Financial Summary - The company is projected to achieve net profits of 540 million CNY, 710 million CNY, and 840 million CNY for the years 2024, 2025, and 2026, respectively. The expected revenue growth rates are 21.6% for 2024, 26.8% for 2025, and 15.3% for 2026 [2][8]. - The report indicates an EBITDA of 541 million CNY for 2023, with projections of 621 million CNY for 2024, 1.032 billion CNY for 2025, and 1.516 billion CNY for 2026 [2][8].
五洲特纸:24Q2盈利略承压,浆纸一体化持续推进