HONGLU(002541) 光大证券·2025-04-09 14:00Investment Rating - The report maintains a "Buy" rating for the company [5]. Core Views - The company has shown a significant increase in order intake and production in Q1 2025, indicating the initial positive effects of its smart transformation on production efficiency [3][4]. - The average price of large orders has decreased due to fluctuations in steel prices, with a notable drop of 11% year-on-year in Q1 2025 [3]. - The company is expected to see a gradual improvement in profit per ton as the effects of smart transformation become more apparent [3]. Summary by Sections Orders - In Q1 2025, the company signed new orders worth 7.052 billion yuan, a year-on-year increase of 1.25%. After adjusting for steel price fluctuations, the order intake is estimated to have grown by approximately 18% year-on-year [2]. - The average price of hot-rolled coils in Q1 2025 was about 3,478 yuan per ton, reflecting a 14% decrease year-on-year [2]. Production - The company's steel structure production reached approximately 1.05 million tons in Q1 2025, marking a 14% increase year-on-year. This growth is attributed to better cash flow from customers and the initial success of smart transformation efforts [2]. Outlook - The report anticipates a phase of improvement in profit margins per ton, driven by the ongoing smart transformation and a focus on achieving a capacity utilization rate exceeding 100% [3]. - The company’s projected net profits for 2024, 2025, and 2026 are 1.236 billion yuan, 1.302 billion yuan, and 1.647 billion yuan, respectively [4].