CJS(600176) 华泰证券·2025-03-20 10:29Investment Rating - The investment rating for the company is "Buy" with a target price of 16.40 RMB [8][9]. Core Views - The company reported a revenue of 15.86 billion RMB for 2024, with a year-on-year growth of 6.6%. The net profit attributable to shareholders decreased by 19.7% to 2.44 billion RMB, while the adjusted net profit fell by 5.8% to 1.79 billion RMB. In Q4 2024, the company achieved a revenue of 4.22 billion RMB, a year-on-year increase of 22.4%, and a net profit of 910 million RMB, up 146% year-on-year [1][2]. - The company’s glass fiber and related products generated a revenue of 15.48 billion RMB in 2024, reflecting a 7.3% increase year-on-year. The sales volume of roving and products reached 3.025 million tons, up 21.9%, while electronic cloth sales increased by 4.7% to 880 million meters [2]. - The gross margin for 2024 was 25.0%, down 3.0 percentage points year-on-year, but improved to 28.6% in Q4 2024, driven by the recovery of glass fiber prices and an increase in high-end product sales [2][4]. - The company plans to distribute a cash dividend of 2.4 RMB per 10 shares, resulting in a payout ratio of 39.3%, an increase of 3.1 percentage points year-on-year [3]. - The company is expected to benefit from a new round of price increases for glass fiber, with production capacity expansion and zero-carbon manufacturing strategies enhancing operational efficiency and cost advantages [4][5]. Summary by Sections Financial Performance - In 2024, the company’s operating revenue was 15.86 billion RMB, with a net profit of 2.44 billion RMB, reflecting a decline of 19.7% year-on-year. The Q4 2024 results showed a significant recovery with a net profit increase of 146% [1][2]. - The gross margin for 2024 was 25.0%, with Q4 showing an improvement to 28.6% [2][3]. Sales and Production - The company’s glass fiber and related products revenue reached 15.48 billion RMB in 2024, with a sales volume of 3.025 million tons for roving, marking a 21.9% increase [2]. - The company’s production capacity reached 3.061 million tons, maintaining its position as an industry leader [4]. Dividend and Cash Flow - The company announced a cash dividend of 2.4 RMB per 10 shares, with a payout ratio of 39.3% [3]. - Operating cash flow for 2024 was 2.03 billion RMB, a 134.4% increase year-on-year [3]. Future Outlook - The company is expected to see continued improvement in profitability due to rising glass fiber prices and increased demand for high-end products [4][5]. - The target price for the company is set at 16.40 RMB, based on a projected P/E ratio of 20x for 2025 [5].