Changzhou Fusion New Material (SH:688503) Huachuang Securities·2024-11-01 13:16Investment Rating - The report maintains a "Recommended" rating for the company with a target price of 58.21 CNY [1]. Core Views - The company's performance in Q3 2024 met expectations, with a net profit attributable to shareholders of 421 million CNY, a year-on-year increase of 4.29%, but a quarter-on-quarter decrease of 19.69% [1]. - The revenue for the first three quarters of 2024 was 982.6 million CNY, down 4.47% year-on-year, with a gross margin of 8.92% [1]. - In Q3 2024, the company achieved a revenue of 306.1 million CNY, a year-on-year decline of 28.87% and a quarter-on-quarter decline of 45.30% [1]. - The company has seen a significant increase in shipment volume, exceeding 1600 tons, which is an 11% year-on-year growth, with N-type silver paste shipments accounting for approximately 85% of total shipments [1]. - The company is actively advancing upstream silver powder production capacity to enhance efficiency and reduce costs, with a new glass powder project underway [1]. Financial Summary - The company reported a total revenue of 10,290 million CNY for 2023, with a year-on-year growth rate of 58.2% [3]. - The projected revenues for 2024, 2025, and 2026 are 13,598 million CNY, 18,021 million CNY, and 21,370 million CNY, respectively, with growth rates of 32.1% and 32.5% [3]. - The net profit attributable to shareholders for 2023 was 442 million CNY, with a growth rate of 13.0%, and is expected to rise to 562 million CNY in 2024 [3]. - The company’s earnings per share (EPS) for 2023 was 1.83 CNY, projected to increase to 2.32 CNY in 2024 [3].