TINCI(002709) 华金证券·2024-08-29 11:30Investment Rating - The report maintains a "Buy-B" rating for the company, with a target price of 13.99 CNY [1][3]. Core Views - The company has a solid leading position in the industry and is steadily advancing in overseas markets [1]. - The company reported a significant decline in revenue and net profit for the first half of 2024, with total revenue of 5.45 billion CNY, down 31.8% year-on-year, and a net profit of 238 million CNY, down 81.6% year-on-year [1]. - The growth in the company's lithium-ion battery materials business remains strong, accounting for approximately 86.82% of total revenue, with a notable increase in sales of phosphate iron products [1][3]. Financial Performance - In the first half of 2024, the company achieved a gross margin of 18.85%, a decrease of 11.6 percentage points year-on-year, and a net margin of 4.38%, down 11.0 percentage points year-on-year [1]. - The company’s revenue projections for 2024-2026 have been revised downwards, with expected net profits of 651 million CNY, 1.52 billion CNY, and 2.21 billion CNY respectively, reflecting a significant decrease from previous forecasts [3][4]. - The company’s total assets are projected to increase from 23.98 billion CNY in 2023 to 33.09 billion CNY by 2026, indicating a growth trajectory despite current challenges [5]. Market Position and Strategy - The company maintains a leading market share and profitability in the electrolyte product segment, with over 97% self-supply ratio for key raw materials [1]. - The company is focusing on enhancing its competitive advantage by addressing production line debugging issues and improving production processes to reduce costs [1]. - The overseas revenue showed a slight increase of 13.58% year-on-year, with ongoing efforts to expand international customer certifications and collaborations [1][3]. Research and Development - The company’s R&D expenses in the first half of 2024 were 306 million CNY, a decrease of 5.80% year-on-year, with a focus on lithium battery materials [1]. - Key R&D initiatives include the development of high-energy-density lithium battery systems and new sodium battery materials to meet market demands [1].