Huafon Spandex(002064) 东方证券·2025-04-03 00:23Investment Rating - The investment rating for the company is "Buy" (maintained) with a target price of 9.20 CNY [1] Core Views - The report highlights that the company's performance is expected to improve in the coming quarters, supported by cost advantages and a strong market position in the industry [4][5] - The company is anticipated to benefit from its integrated layout, particularly in the upstream raw materials for spandex production, which will enhance its cost competitiveness [9] Financial Summary - The company reported a revenue of 26,298 million CNY in 2023, with a projected revenue of 26,931 million CNY in 2024, and a slight decline to 26,114 million CNY in 2025, followed by growth in subsequent years [7] - The net profit attributable to the parent company is expected to decrease from 2,478 million CNY in 2023 to 2,220 million CNY in 2024, before recovering to 2,282 million CNY in 2025 [7] - The earnings per share (EPS) are projected to be 0.46 CNY in 2025, with a gradual increase to 0.58 CNY by 2027 [5][7] Industry Insights - The report indicates that the industry is currently at a low point in terms of profitability, but the company is positioned to expand during this period, potentially leading to greater profit elasticity in the next economic cycle [9] - The report notes that the price differentials for spandex and adipic acid have been narrowing, which has impacted margins, but the company’s cost advantages may allow it to navigate these challenges effectively [9]