Dynanonic(300769) 长江证券·2024-11-18 02:33Investment Rating - The report maintains a Buy rating for DNF (300769 SZ) [5] Core Views - DNF's Q3 2024 revenue was RMB 2 19 billion, down 59 56% YoY and 10 58% QoQ, with a net loss of RMB 306 million [5] - The company's lithium iron phosphate (LFP) cathode material shipments increased slightly QoQ in Q3 2024, with a slight improvement in capacity utilization [5] - The net profit in Q3 2024 was under pressure due to falling lithium carbonate prices and low capacity utilization, which affected cost dilution [5] - The company's LFP capacity utilization is expected to continue to recover, with a total LFP capacity of 265k tons and lithium manganese iron phosphate (LMFP) capacity of 110k tons [6] - The LFP industry's profitability is at a bottom, and with demand recovery, price stabilization, and supply slowdown, profitability is expected to stabilize and return to reasonable levels [6] - DNF's new technologies, such as LMFP and lithium replenishment agents, are expected to bring new profit elasticity [6] Financial Performance - In the first three quarters of 2024, DNF achieved revenue of RMB 6 53 billion, down 54 35% YoY, with a net loss of RMB 822 million [2] - The company's Q3 2024 revenue was RMB 2 19 billion, down 59 56% YoY and 10 58% QoQ, with a net loss of RMB 306 million [5] - The company's asset impairment loss in Q3 2024 was RMB 123 million, with a credit impairment reversal of RMB 21 million [5] Industry Outlook - The LFP industry's profitability is at a bottom, and with demand recovery, price stabilization, and supply slowdown, profitability is expected to stabilize and return to reasonable levels [6] - DNF's new technologies, such as LMFP and lithium replenishment agents, are expected to bring new profit elasticity [6] Company Data - Current stock price: RMB 41 50 [7] - Total shares outstanding: 280 19 million [7] - Net asset value per share: RMB 21 70 [7] - 12-month high/low stock price: RMB 79 59/RMB 22 23 [7]