Quechen Company(605183) 海通证券·2024-09-13 06:18Investment Rating - The investment rating for the company is "Outperform the Market" [1] Core Views - The company achieved a revenue of 1.071 billion yuan in the first half of 2024, representing a year-on-year increase of 26.02%. The net profit attributable to shareholders reached 262 million yuan, up 36.57% year-on-year [5] - The company plans to invest no more than 500 million yuan to build a microsphere project, aiming for commercialization [5] - The company has a strong demand for its products, with sales volume reaching a historical high, particularly in the silica market [5] Financial Performance - In Q2 2024, the company reported revenue of 548 million yuan, a year-on-year increase of 26.14% and a quarter-on-quarter increase of 4.94% [5] - The gross profit margin for the first half of 2024 was 32.79%, an increase of 7.22 percentage points year-on-year [5] - The company expects net profits for 2024-2026 to be 514 million, 600 million, and 686 million yuan respectively, with corresponding EPS of 1.24, 1.44, and 1.65 yuan [6] Market Position and Strategy - The company has established a strong customer base in the rubber industry, including major international tire manufacturers and rapidly growing Chinese tire companies [5] - The company is actively expanding into international markets, responding to strong demand for low-carbon, high-dispersion products [5] - The company’s sales volume for silica in Q2 2024 was 89,500 tons, a year-on-year increase of 22.4% [5] Product Pricing and Cost Structure - The average price of products in Q2 2024 increased by 2.34% year-on-year and 0.5% quarter-on-quarter [5] - The procurement price of key raw materials such as soda ash and quartz sand decreased by 22.95% and 5.37% year-on-year, respectively [5] Future Outlook - The company is expected to see significant revenue growth, with projected revenues of 2.225 billion, 2.517 billion, and 2.772 billion yuan for 2024, 2025, and 2026 respectively [7] - The company aims to improve its product structure by increasing the proportion of high-dispersion products [5]