LB Group(002601) 国海证券·2024-10-31 13:32Investment Rating - The report maintains a "Buy" rating for the company [1][13][21] Core Views - The company continues to enhance its titanium ore resource reserves, with a dividend payout ratio of 83.65% in the first three quarters of 2024, balancing shareholder returns with long-term development [1][9] - The average price of titanium dioxide decreased by 1.77% year-on-year and 4.71% quarter-on-quarter, while the average price of titanium concentrate increased by 5.62% year-on-year and 2.02% quarter-on-quarter [5][6] - The company has signed strategic cooperation agreements to improve its supply chain resilience and flexibility, aligning with its core business development strategy [6][9] Financial Performance Summary - For the first three quarters of 2024, the company achieved operating revenue of 20.885 billion yuan, a year-on-year increase of 2.97%, and a net profit attributable to shareholders of 2.564 billion yuan, a year-on-year increase of 19.68% [5][11] - In Q3 2024, the company reported revenue of 7.081 billion yuan, a year-on-year increase of 0.85% and a quarter-on-quarter increase of 8.77% [5][11] - The company’s gross profit margin for Q3 2024 was 25.81%, a decrease of 3.15% year-on-year and 0.87% quarter-on-quarter [5][11] Price and Market Data - As of October 30, 2024, the company's stock price was 19.21 yuan, with a market capitalization of approximately 45.84 billion yuan [3][5] - The company is the largest titanium dioxide producer globally, with an annual production capacity of 1.51 million tons [9][11] Earnings Forecast - The company’s projected operating revenues for 2024, 2025, and 2026 are 28.088 billion yuan, 32.444 billion yuan, and 34.626 billion yuan, respectively, with corresponding net profits of 3.354 billion yuan, 4.128 billion yuan, and 4.634 billion yuan [11][21]