鼎龙股份：24H1业绩高增，半导体业务快速发展

Investment Rating - The report maintains an Overweight rating for the company, with a target price of RMB 19.20 [1] - The sector rating is Outperform [1] Core Views - The company's performance in the first half of 2024 showed significant year-on-year growth, with Q2 2024 polishing pad revenue reaching a historical high [1] - The company's semiconductor business layout and new product development progress are key drivers for maintaining the Overweight rating [1] - The company's 2024 H1 revenue reached RMB 1.519 billion, a 31.01% YoY increase, with net profit attributable to shareholders of RMB 218 million, a 127.22% YoY increase [4] - Q2 2024 revenue was RMB 811 million, a 32.25% YoY increase, with net profit attributable to shareholders of RMB 136 million, a 122.88% YoY increase [4] Financial Performance - The company's gross margin in H1 2024 was 45.19%, an increase of 11.35 percentage points YoY, while the net margin was 18.85%, up 8.75 percentage points YoY [4] - Operating cash flow in H1 2024 was RMB 341 million, indicating strong cash flow support for business development [4] - R&D investment in H1 2024 was RMB 219 million, accounting for 14.42% of revenue, supporting rapid layout of new products [4] Semiconductor Business - Semiconductor business revenue in H1 2024 was RMB 634 million, a 106.56% YoY increase, accounting for 42% of total revenue [4] - CMP polishing pad revenue in H1 2024 was RMB 298 million, a 99.79% YoY increase, with Q2 revenue reaching RMB 163 million, a 92.03% YoY increase [4] - Polishing liquid and cleaning liquid revenue in H1 2024 was RMB 76.41 million, a 189.71% YoY increase, entering a phase of order volume expansion [4] Display Materials and Advanced Packaging - Display materials revenue in H1 2024 was RMB 167 million, a 232.27% YoY increase, with Q2 revenue of RMB 97.07 million, a 160.53% YoY increase [4] - The company has developed 20 photoresist products, with 9 already sent for testing and 5 entering the gallon sample verification stage [4] - The company has laid out 7 semiconductor packaging PI products, with 5 already sent for testing and some products verified and imported in H1 2024 [4] Valuation and Forecast - The report slightly raises the profit forecast, expecting net profit attributable to shareholders of RMB 448 million, RMB 667 million, and RMB 871 million for 2024-2026, with EPS of RMB 0.48, RMB 0.71, and RMB 0.93 respectively [4] - The PE ratios for 2024-2026 are expected to be 40.2x, 27.0x, and 20.7x respectively [4]