Longi(601012) 山西证券·2024-11-11 10:48Investment Rating - The report maintains a "Buy-B" rating for the company, indicating a positive outlook based on its competitive position and technological advancements [2]. Core Views - The company has experienced significant revenue declines due to industry supply-demand mismatches and price drops across the photovoltaic sector, leading to a projected EPS of -0.99, 0.76, and 1.17 for 2024-2026 [2]. - Despite the challenges, the company is recognized as a leading player in the industry, focusing on differentiated competition and advancing its global production capacity [2]. - The third quarter showed a reduction in losses, with a notable increase in sales volume for its HPBC second-generation products [3]. Financial Performance Summary - For the first three quarters of 2024, the company reported revenue of 585.9 billion yuan, a year-on-year decrease of 37.7%, and a net profit attributable to shareholders of -65.0 billion yuan, down 155.6% [2][3]. - The third quarter alone saw revenue of 200.6 billion yuan, a decline of 31.9% year-on-year and 3.8% quarter-on-quarter, with a net profit of -12.6 billion yuan, reflecting a 150.1% year-on-year decrease but a 56.4% improvement from the previous quarter [2][3]. - The gross margin for Q3 improved to 8.6%, up 2.0 percentage points from the previous quarter, with significant increases in shipment volumes for silicon wafers and components [3]. Production and Technology Advancements - The company achieved a silicon wafer shipment volume of 82.8 GW for the first three quarters, with a year-on-year increase in component shipments of 17.7% [3]. - The HPBC 2.0 technology has reached a mass production efficiency of 26.6%, with new high-efficiency products launched, including the Hi-MO 9 and Hi-MO X10 components, achieving maximum power outputs of 670W [3]. - The company aims to ship 30 GW of BC second-generation products in 2025, demonstrating its commitment to expanding its technological capabilities and market presence [3].