WEIXING NBM(002372) 东方财富·2024-10-10 02:03Investment Rating - The report maintains an "Accumulate" rating for the company [3][6]. Core Viewpoints - The company has established a significant competitive advantage in the plastic pipe market through over 20 years of deep cultivation, characterized by a flat channel structure, strong profitability, and high asset quality [2][6]. - Demand recovery is anticipated, particularly benefiting leading pipe manufacturers as the market shifts towards small B and C-end channels [2][6]. - The company is transitioning from a plastic pipe manufacturer to a comprehensive water system service provider, significantly increasing the potential value per household [2][6]. Summary by Relevant Sections Company Overview - Founded in 1999, the company is a leading retail PPR pipe manufacturer in China, with a diverse product range including PPR, PE, PVC pipes, waterproofing, and water purification products [15][26]. Industry Analysis - The plastic pipe industry is valued at approximately 161.9 billion yuan, with stable production levels. The demand is expected to benefit from real estate policy adjustments and increased renovation needs [27][30][31]. Financial Performance - The company’s revenue for 2023 is projected at 6,378.28 million yuan, with a slight decline of 8.27%. However, a recovery is expected in subsequent years, with net profits forecasted to be 1,382.36 million yuan in 2024, reflecting a decrease of 3.49% [7][6]. Growth Potential - The company is expanding its product categories, aiming to enhance the value per household significantly. For instance, the potential value can increase from 1,800 yuan for plastic pipes to 5,400 yuan when including waterproofing and purification products, and up to 9,400 yuan with heating systems [2][6]. Market Trends - The report highlights a shift in the market towards small B and C-end channels, with leading companies expected to gain market share as demand recovers due to favorable real estate policies [2][6].