CNANO(688116) 华泰证券·2024-08-31 13:03Investment Rating - The investment rating for the company is "Buy" with a target price of RMB 22.04 [6][7]. Core Views - The company achieved a revenue of RMB 647 million in 1H24, representing a year-on-year increase of 0.88%, while the net profit attributable to the parent company was RMB 116 million, up 28.52% year-on-year. The growth was driven by a significant increase in carbon nanotube sales despite a decline in product prices [1][2]. - The company maintains its profit forecast, expecting net profits of RMB 319 million, RMB 447 million, and RMB 564 million for the years 2024 to 2026, respectively [1]. - The company is advancing its new carbon nanotube project and expanding into overseas markets, collaborating with well-known lithium battery companies in Japan and South Korea [3]. - The mass production of 4680 batteries is imminent, which is expected to increase the demand for single-walled carbon nanotubes, a product with higher profitability compared to multi-walled tubes [4]. Summary by Sections Financial Performance - In 2Q24, the company reported revenue of RMB 340 million, with a year-on-year decrease of 6.29% but a quarter-on-quarter increase of 10.56%. The net profit for the same period was RMB 62 million, showing a year-on-year increase of 23.08% and a quarter-on-quarter increase of 14.76% [2]. - The overall gross margin for 2Q24 was 51.97%, reflecting a significant improvement of 19.85 percentage points year-on-year and 17.52 percentage points quarter-on-quarter [2]. - The company’s operating expenses ratio increased by 0.47 percentage points year-on-year to 16.58% in 1H24, with management expenses rising due to increased professional and management personnel [2]. Project Development - The company is developing a new carbon nanotube cathode material project, aiming for an annual production capacity of 100,000 tons, with an initial target of 20,000 tons [3]. - The company has made progress in expanding its overseas market presence, successfully supplying carbon nanotube conductive slurry to major customers in Japan and South Korea [3]. Market Outlook - The anticipated mass production of 4680 batteries is expected to drive demand for single-walled carbon nanotubes, which are crucial for enhancing the conductivity and cycle life of silicon-based anodes [4]. - The company plans to produce 100 tons of single-walled conductive functional materials and 7,000 tons of single-walled conductive slurry, positioning itself as one of the few global suppliers of single-walled nanotubes [4].