追寻建材行业蓝海，挖掘高股东回报

Investment Rating - The report provides a positive outlook on the building materials industry, particularly focusing on cement, glass, and decorative materials, indicating potential for high shareholder returns [2][12][23]. Core Insights - The cement industry is experiencing a rebound in profitability after a prolonged low period, with supply-side adjustments and improving demand expectations contributing to this recovery [4][7][12]. - In the glass sector, the report highlights the emergence of "blue ocean" companies amidst a competitive landscape, suggesting that leading firms may gain market share as the industry stabilizes [15][23]. - The decorative materials segment emphasizes the importance of high shareholder returns, with a focus on companies that demonstrate strong capital efficiency and a commitment to dividends [29][31][32]. Cement Industry Summary - The cement industry's profitability is expected to recover, with the price differential between cement and coal turning positive since Q3 2024, indicating improved margins [4][5][12]. - Supply-side constraints are evident, with increased kiln shutdowns in East China, leading to a significant reduction in production days compared to the previous year [7][8]. - Demand is projected to improve, supported by fiscal policy changes, including an increase in local government debt limits approved in November 2024 [7][12]. Glass Industry Summary - The glass industry is at a historical low in profitability, with significant supply reductions anticipated as companies opt for early maintenance and delayed restarts [15][19]. - The report notes that the supply contraction in the float glass sector is expected to reach 10% from February to October 2024, which may lead to inventory depletion among manufacturers [19][23]. - Leading companies like Xinyi Glass and Qibin Group are recommended for their strong market positions and potential for increased profitability as the market stabilizes [23][24]. Decorative Materials Summary - The report identifies key players in the decorative materials sector that have high capital efficiency and a strong track record of cash dividends, suggesting they are well-positioned for future growth [29][31]. - The potential for growth in the renovation market is highlighted, with a significant portion of existing housing stock requiring updates as the average age of properties increases [32][33]. - Companies such as Weixing New Materials and Rabbit Baby are noted for their high dividend payout ratios and strong return on equity, making them attractive investment opportunities [31][32].