BAOFENG ENERGY(600989) 申万宏源证券·2025-03-18 03:46Investment Rating - The report maintains a "Buy" rating for Baofeng Energy (600989) [1] Core Insights - The Q4 performance slightly exceeded expectations, with the Inner Mongolia Phase I project gradually entering the production phase [6] - The company reported a total revenue of 32.98 billion yuan for 2024, representing a year-on-year growth of 13.21%, and a net profit attributable to shareholders of 6.34 billion yuan, up 12.16% year-on-year [6] - The company’s core products, including polyethylene, polypropylene, and coke, saw significant sales increases, with polyethylene and polypropylene sales rising by 30.27% and 41.21% respectively [6] - The Inner Mongolia Phase I project, with a total capacity of 3 million tons per year, is expected to be a major growth driver for the company [6] - The Xinjiang project has received environmental and safety assessments, opening up long-term growth opportunities [6] Financial Data and Profit Forecast - Total revenue is projected to reach 55.37 billion yuan in 2025, with a year-on-year growth rate of 67.9% [5] - Net profit attributable to shareholders is forecasted to be 13.54 billion yuan in 2025, reflecting a significant increase of 113.7% year-on-year [5] - The company’s gross margin is expected to improve, reaching 36.0% in 2025 [5] - The projected PE ratios for 2025, 2026, and 2027 are 9, 8, and 8 respectively, indicating a favorable valuation [6]