Sirui(SH:688102) Shanxi Securities·2024-10-09 23:30Investment Rating - The report maintains a "Buy-B" rating for the company [2][3]. Core Views - The company specializes in high-performance copper alloy materials and is steadily growing across multiple sectors, leveraging its core production technology to expand into downstream applications [1][21]. - The company achieved a revenue of 624 million yuan in the first half of 2024, representing an 11.48% year-on-year increase, and a net profit of 55.94 million yuan, up 6.28% year-on-year [1][23]. - The report highlights the increasing demand for tungsten-copper alloys in high-speed optical modules and the growth potential in the CT/DR ball tube components market due to domestic substitution needs [1][2]. Summary by Sections 1. Company Overview - The company has been deeply engaged in the copper alloy sector for many years, focusing on the preparation technology of copper-based special materials, starting from medium and high-voltage electrical contact materials [15][21]. - The strategic positioning aims to become a leader in multiple niche material fields [15]. 2. Emerging Business Growth - The liquid rocket engine thrust chamber inner wall products have entered mass production, benefiting from the rapid development of commercial aerospace [2][40]. - The optical module base and shell are expected to see increased market space due to high thermal dissipation requirements [1][2]. - The CT/DR ball tube components market is projected to exceed 10 billion yuan, driven by urgent domestic demand [1][2]. 3. Traditional Business Stability - The medium and high-voltage electrical contact materials remain the core business, with stable growth in demand from power equipment [1][21]. - The end rings and guide bars are expected to grow steadily due to increasing traction motor needs in rail transport [3][21]. - The global connector market is anticipated to grow significantly, with high-strength, high-conductivity copper alloys being crucial raw materials [3][21]. 4. Financial Forecast and Valuation - The company is projected to achieve net profits of 127 million yuan, 165 million yuan, and 225 million yuan for 2024, 2025, and 2026, respectively, with year-on-year growth rates of 29.6%, 29.1%, and 37.0% [3][4]. - The report provides a detailed financial outlook, including revenue growth and profit margins, indicating a robust financial trajectory [4][23].