BAOTI(600456) 民生证券·2024-08-21 03:30Investment Rating - The investment rating for the company is "Recommended" [5] Core Views - The company reported a revenue of 3.73 billion yuan for the first half of 2024, a year-on-year increase of 0.57%, and a net profit attributable to shareholders of 403 million yuan, up 5.85% year-on-year [2] - The demand for military products has stabilized, while the growth in exports and domestic large aircraft demand has supported a recovery in performance [3] - The company is expected to benefit from the rapid development of aerospace and 3C consumer electronics, leading to a promising growth outlook [5] Financial Performance Summary - In the first half of 2024, the company sold approximately 17,797.94 tons of titanium products, a year-on-year increase of 6.65% [3] - The gross profit margin for the first half of 2024 was 22.39%, a decrease of 0.22 percentage points year-on-year, while the gross profit margin for Q2 2024 was 26.94%, an increase of 9.29 percentage points quarter-on-quarter [3] - The company’s overseas revenue for the first half of 2024 was approximately 768 million yuan, with a gross profit margin of 7.86%, showing significant year-on-year improvement [3] Demand Market Analysis - The military market has seen a significant slowdown in procurement since the second half of 2023, but demand is gradually stabilizing [3] - The domestic civil market remains weak due to insufficient capital expenditure in the chemical industry [3] - The company has successfully entered the supply chain of Boeing and Airbus, benefiting from the recovery of overseas aviation demand [3] - The 3C market is expected to become a new growth point for titanium demand, driven by Apple's adoption of titanium alloy frames [3] Key Highlights - High-end titanium projects are gradually being put into production, optimizing the product structure [3] - The company’s actual titanium processing capacity reached 32,942 tons in 2023, with plans to reach 50,000 tons during the 14th Five-Year Plan [3] - The company aims to increase its raw material self-sufficiency to mitigate the impact of price fluctuations on costs [3] Investment Recommendations - The company is expected to achieve net profits attributable to shareholders of 592 million yuan, 696 million yuan, and 789 million yuan for 2024, 2025, and 2026 respectively, with corresponding PE ratios of 20, 17, and 15 [4][6]