STL(SZ:002648) Huaan Securities·2024-10-23 09:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1][2] Core Views - The company reported a significant quarter-on-quarter increase in performance, with the successful launch of the butanol project contributing positively [1] - The third quarter revenue reached 12.875 billion yuan, showing a year-on-year increase of 9.89% and a quarter-on-quarter increase of 21.51% [1] - The company is benefiting from the recovery of production and sales after maintenance, along with improved price differentials for C2 raw materials [1] - The butanol project has successfully produced qualified products, which will help reduce costs and stabilize supply for the acrylic ester unit [1] - The company is advancing its high-end new materials industrial park project, which is expected to double its ethylene equivalent production capacity by 2026-2027 [1] Financial Summary - The company's projected net profits for 2024, 2025, and 2026 are 54.94 billion yuan, 66.81 billion yuan, and 94.19 billion yuan respectively, with corresponding P/E ratios of 11.21, 9.22, and 6.54 [2] - Revenue is expected to grow from 41.487 billion yuan in 2023 to 69.695 billion yuan in 2026, with a compound annual growth rate of 16.8% [4] - The net profit margin is projected to improve from 11.5% in 2023 to 13.5% in 2026, indicating enhanced profitability [5] - The company's return on equity (ROE) is expected to increase from 18.8% in 2023 to 21.7% in 2026, reflecting better capital efficiency [5]