Tstc(600552) 国泰君安·2024-09-18 12:41Investment Rating - The report maintains an "Accumulate" rating for the company [3][5]. Core Views - The company announced its 2024 semi-annual report, which slightly missed expectations due to weak downstream demand, resulting in a revenue decline of 9.64% year-on-year to 2.217 billion yuan and a net profit drop of 47.60% to 42 million yuan [4][5]. - The report highlights that the display and application materials segments experienced revenue declines of 32.95% and 23.15%, respectively, primarily due to intensified supply-demand conflicts in the photovoltaic sector and ongoing adjustments in the real estate market [5]. - The company is expected to maintain certain revenue resilience as it continues structural adjustments and deepens relationships with major clients, despite short-term demand challenges [5]. - The report anticipates improvements in profitability for the display segment, while the materials segment awaits the release of advantageous products [5]. - The company's integrated advantages in UTG (Ultra-Thin Glass) and steady progress in synthetic silica projects are noted, with expectations for enhanced contributions from new products in the second half of 2024 [5]. Financial Summary - For the first half of 2024, the company achieved a revenue of 2.217 billion yuan, a decrease of 9.64% year-on-year, and a net profit of 42 million yuan, down 47.60% year-on-year [5][6]. - The report projects EPS for 2024 and 2025 to be 0.14 yuan and 0.21 yuan, respectively, with a new EPS forecast for 2026 at 0.31 yuan [5][6]. - The target price remains at 14.03 yuan, based on a price-to-sales ratio of 3x for 2024 [5]. - The company’s total revenue for 2024 is estimated at 4.45 billion yuan, reflecting a decline of 11.2% from 2023, with a projected recovery in subsequent years [6][11].