Evergreen Technology(SH:603125) CAITONG SECURITIES·2024-10-28 01:23Investment Rating - The investment rating for the company is "Accumulate" [3] Core Views - The company reported a revenue of 810 million yuan for Q3 2024, representing a year-on-year increase of 8.63%, while the net profit attributable to shareholders decreased by 5.78% year-on-year [1] - Despite a decline in product prices, the increase in production and sales volume contributed to revenue growth [1] - The rise in raw material prices, particularly for benzene and ethylene, has negatively impacted profit margins, but a forecasted decrease in these prices may lead to profit recovery in the future [1] Financial Performance Summary - For Q3 2024, the company achieved a revenue of 267 million yuan, a year-on-year increase of 8.35%, but a quarter-on-quarter decrease of 10.78% [1] - The average procurement prices for key raw materials in the first three quarters of 2024 were 7582.26 yuan/ton for benzene and 6850.77 yuan/ton for ethylene, reflecting increases of 18.77% and 11.82% year-on-year, respectively [1] - The company expects revenues of 1.169 billion yuan, 1.834 billion yuan, and 2.209 billion yuan for 2024, 2025, and 2026, respectively, with corresponding net profits of 213 million yuan, 378 million yuan, and 483 million yuan [2][5] Future Growth Potential - The company is positioned as a fine chemical enterprise with several high-end products and expansion projects that are expected to enhance future growth [2] - The projected PE ratios for 2024, 2025, and 2026 are 24.13, 13.59, and 10.63, indicating potential for valuation improvement as earnings grow [2]