Tstc(600552) 光大证券·2025-04-01 08:13Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected investment return exceeding the market benchmark by more than 15% over the next 6-12 months [4]. Core Views - The company is expected to see operational improvements as capacity is set to be released, with a focus on the growth of its display materials segment and the anticipated production ramp-up of the UTG project [1][2]. - The financial performance for 2024 shows a slight decline in revenue but a significant increase in net profit, indicating improved profitability despite challenges in certain segments [1][3]. Summary by Sections Financial Performance - In 2024, the company achieved revenue of 4.89 billion, a decrease of 2.3% year-on-year, while net profit attributable to shareholders increased by 30.8% to 140 million [1]. - The gross margin improved to 17.0%, up by 3.7 percentage points, primarily due to better margins in the display materials business [1][10]. Segment Analysis - Display materials revenue grew by 7.7% to 3.52 billion, with a notable increase in sales volume of new display materials by 22.5% [2]. - Application materials faced a decline in revenue by 26.6% to 1.16 billion, attributed to falling prices of high-purity quartz sand [3]. Profitability and Cash Flow - The operating cash flow for 2024 was 144 million, reflecting an 8.2% increase year-on-year [1]. - The company plans to distribute a dividend of 0.05 per share, yielding a dividend rate of 0.4% as of the announcement date [1][11]. Future Projections - The net profit forecasts for 2025 and 2026 have been slightly adjusted upwards to 2.62 billion and 3.19 billion, respectively, with a new forecast for 2027 set at 3.62 billion [3]. - The report anticipates continued growth in the display materials segment and successful ramp-up of the UTG project, which is expected to reach operational status by October 2025 [2][3].