DING LONG(300054) 民生证券·2024-08-21 08:39Investment Rating - The report maintains a "Recommended" rating for the company [2][3]. Core Views - The company achieved significant growth in Q2 2024, with revenue reaching 8.11 billion yuan, a year-on-year increase of 32.35%, and a net profit of 1.36 billion yuan, up 122.88% year-on-year [2]. - The semiconductor innovation materials business is accelerating, with CMP polishing pad revenue hitting a record high of 298 million yuan, a 99.79% increase year-on-year [2]. - The company is expected to benefit from increasing downstream demand in the semiconductor sector, with projected net profits of 4.79 billion yuan, 6.60 billion yuan, and 9.31 billion yuan for 2024, 2025, and 2026 respectively [2]. Financial Performance Summary - For the first half of 2024, the company reported total revenue of 15.19 billion yuan, a 31.01% increase year-on-year, and a net profit of 2.18 billion yuan, up 127.22% year-on-year [2]. - The gross profit margin improved to 45.19%, an increase of 11.36 percentage points year-on-year [2]. - The company’s revenue and net profit growth in Q2 were driven by expanding its semiconductor business market and improving product penetration in domestic wafer and display panel manufacturers [2]. Revenue and Profit Forecast - The company is projected to achieve revenues of 3.378 billion yuan, 3.868 billion yuan, and 4.481 billion yuan for 2024, 2025, and 2026 respectively, with corresponding net profits of 479 million yuan, 660 million yuan, and 931 million yuan [3][6]. - The expected price-to-earnings (PE) ratios for 2024, 2025, and 2026 are 38, 28, and 20 respectively [3][6].