Shanghai Sinyang(SZ:300236) Huajin Securities·2024-11-27 13:06Investment Rating - The report assigns an "Accumulate" rating for the company, indicating a positive outlook for the stock over the next 6-12 months [5][17]. Core Insights - The company has experienced rapid growth in its semiconductor business, achieving record revenue of 406 million yuan in Q3 2024, a year-on-year increase of 27.4% and a quarter-on-quarter increase of 11.73% [2][5]. - The semiconductor segment generated revenue of 302 million yuan in Q3 2024, reflecting a year-on-year growth of 49.78% and a net profit increase of approximately 160% [2][5]. - The company aims to optimize its industrial layout and resource allocation, planning to divest its 51% stake in a subsidiary, Haise Technology, to improve asset structure [2][5]. Financial Performance - The company reported a net profit of 71 million yuan in Q3 2024, a significant year-on-year increase of 162.16% and a quarter-on-quarter increase of 77.04% [2][5]. - The gross margin for Q3 2024 was 37.66%, up 2.38 percentage points year-on-year but down 1.67 percentage points quarter-on-quarter [2][5]. - Revenue projections for 2024-2026 are estimated at 1.488 billion yuan, 1.761 billion yuan, and 2.045 billion yuan, with growth rates of 22.7%, 18.3%, and 16.1% respectively [5][14]. Business Segments - The company has developed two main business lines: integrated circuit manufacturing materials and environmentally friendly functional coatings [2][5]. - The electronic chemical materials segment is expected to generate revenue of 1.035 billion yuan in 2024, with a growth rate of 46% [11][14]. - The coating segment is projected to face challenges due to increased competition and declining prices, with expected revenues of 400 million yuan in 2024, down 10% [13][14]. Valuation Metrics - The report provides a forecast for the company's earnings per share (EPS) of 0.65 yuan in 2024, with a price-to-earnings (P/E) ratio of 60.5 [6][18]. - The company's return on equity (ROE) is projected to improve from 4.0% in 2023 to 6.7% by 2026 [6][21]. - The overall gross margin is expected to increase from 38.7% in 2024 to 40.3% in 2026 [6][14].