Adisseo(SH:600299) Great Wall Securities·2025-03-12 06:17Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected stock price increase of over 15% relative to the industry index within the next six months [5][22]. Core Views - The recovery in the methionine industry and the continuous growth of specialty products highlight the company's robust performance and strategic diversification [2][11]. - The company's revenue for 2024 is projected to be 15.534 billion yuan, representing a year-on-year increase of 17.83%, while the net profit attributable to shareholders is expected to reach 1.204 billion yuan, a staggering increase of 2208.66% compared to the previous year [1][12]. Financial Performance Summary - Revenue Growth: The company is expected to achieve revenues of 17.288 billion yuan in 2025, with a compound annual growth rate (CAGR) of 11.3% from 2024 to 2025 [1][12]. - Net Profit: The net profit attributable to shareholders is projected to grow to 1.635 billion yuan in 2025, reflecting a year-on-year growth of 35.8% [1][12]. - Earnings Per Share (EPS): EPS is expected to increase from 0.45 yuan in 2024 to 0.61 yuan in 2025 [1][12]. - Return on Equity (ROE): ROE is anticipated to rise to 9.8% in 2025, indicating improved profitability [1][12]. Operational Highlights - The company reported a significant increase in overall sales gross margin to 30.21% in 2024, up by 8.83 percentage points year-on-year [2]. - The cash flow from operating activities for 2024 is projected to be 2.945 billion yuan, a 6.53% increase from the previous year [3]. - The demand for methionine is recovering, with prices expected to remain strong due to supply constraints and increased market demand, particularly in the poultry sector [4][10]. Strategic Developments - The company is expanding its production capacity, with a new solid methionine facility in Quanzhou expected to be operational by 2027 [11]. - The company is optimizing its European production capacity and enhancing digital upgrades to improve cost efficiency and production safety [11]. - The launch of innovative specialty products is expected to contribute significantly to revenue growth, with the company focusing on integrated solutions in animal health [11].