Drinda(002865) China Post Securities·2025-04-01 10:23Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [2]. Core Insights - The company reported a significant decline in revenue and net profit for 2024, with revenue at 9.95 billion yuan, down 46.7% year-on-year, and a net loss of 591 million yuan, down 172.5% year-on-year. However, the company is expected to benefit from an increase in overseas market share, which may help reduce losses in Q4 2024 [6][9]. - The company has improved its battery production efficiency and reduced costs, with a 0.5% increase in average conversion efficiency and a 30% reduction in non-silicon costs. The shipment of N-type batteries reached 31.0 GW, accounting for over 90% of total shipments, with a year-on-year increase of 50.6% [7]. - The report anticipates a recovery in profitability, projecting revenues of 15.15 billion yuan, 17.03 billion yuan, and 21.15 billion yuan for 2025, 2026, and 2027, respectively, with corresponding net profits of 970 million yuan, 1.28 billion yuan, and 1.80 billion yuan [9][12]. Financial Summary - The latest closing price of the company's stock is 50.27 yuan, with a total market capitalization of 11.5 billion yuan [5]. - The company’s average P/E ratio is projected to decrease from 12 times in 2025 to 6 times in 2027, indicating an improving valuation as profitability recovers [9][12]. - The company’s overseas sales proportion increased significantly from 4.69% in 2023 to 23.85% in 2024, with strong market positions in India, Turkey, and Europe [7].