JHSY(002597) 长江证券·2024-11-07 07:31Investment Rating - The investment rating for the company is "Buy" and is maintained [4][6]. Core Views - The company reported a revenue of 4.04 billion yuan for the first three quarters of 2024, a year-on-year decrease of 1.2%, and a net profit attributable to shareholders of 410 million yuan, down 27.4% year-on-year [2][4]. - In Q3 alone, the company achieved a revenue of 1.5 billion yuan, which represents a year-on-year increase of 6.0% and a quarter-on-quarter increase of 13.5% [2][4]. - The company’s sugar substitute products have shown signs of recovery, with a significant price increase expected in Q4 due to reduced production and inventory [3][4]. Summary by Sections Financial Performance - For the first three quarters of 2024, the company achieved a net profit of 410 million yuan, down 27.4% year-on-year, and a net profit excluding non-recurring items of 380 million yuan, down 21.9% year-on-year [2]. - Q3 results showed a net profit of 160 million yuan, up 1.2% year-on-year and up 37.5% quarter-on-quarter [2][4]. Market Trends - The price of sucralose has rebounded from 100,000 yuan per ton on August 27 to 210,000 yuan per ton, indicating a recovery in the industry after a period of price decline [2][3]. - The demand for sugar substitutes remains strong, with Q3 exports of sucralose reaching 5,104 tons, up 20.5% year-on-year and 28.8% quarter-on-quarter [2][3]. Production Capacity and Cost Management - The company is gradually releasing capacity from its second phase of the Dingyuan project, which includes significant production capabilities for various chemical products [4]. - Efforts are being made to reduce costs and improve efficiency, including technological advancements in sucralose production [4]. Future Outlook - The company expects its performance to improve significantly in the coming years, with projected net profits of 830 million yuan, 1.27 billion yuan, and 1.67 billion yuan for 2024, 2025, and 2026 respectively [4].