NANSHAN FASHION(300918) 华西证券·2025-03-17 06:53Investment Rating - The investment rating for the company is "Buy" [1] Core Views - The company is expected to recover profitability in new materials following the establishment of a new production base in Indonesia, with a total investment not exceeding 15.67 million USD for the project [2][10] - The company plans to distribute a dividend of 0.15 CNY per share for 2024, maintaining a dividend payout ratio of 30.87% [2] Financial Overview - In 2024, the company's revenue, net profit attributable to the parent, and net profit after deducting non-recurring gains and losses were 1.616 billion CNY, 191 million CNY, and 183 million CNY respectively, with year-on-year changes of 0.98%, -5.83%, and -7.8% [2] - The company reported a revenue of 453 million CNY and a net profit of 66 million CNY in Q4 2024, representing a year-on-year decline of 5.02% and 19.84% respectively [2] - The gross profit margin for 2024 was 33.58%, a decrease of 1.07 percentage points year-on-year, while the net profit margin was 11.81%, down 0.85 percentage points [8] Business Segment Performance - The revenue from fine woolen fabric in 2024 was 810 million CNY, down 9.54% year-on-year, with a capacity utilization rate of 79.52%, a decrease of 11.51 percentage points [3] - The revenue from the apparel segment was 611 million CNY, an increase of 4.45% year-on-year, despite a decline in capacity utilization for shirts and suits [3] - The revenue from ultra-high molecular polyethylene increased by 94.75% year-on-year to 176 million CNY, primarily due to the full production of the second phase [4] Future Projections - Revenue forecasts for 2025 and 2026 have been adjusted to 2.496 billion CNY and 3.121 billion CNY respectively, with net profit forecasts of 285 million CNY and 333 million CNY [10] - The projected earnings per share (EPS) for 2025 and 2026 are 0.69 CNY and 0.81 CNY respectively, with a corresponding price-to-earnings (PE) ratio of 25.50 and 21.81 [12][15]