TTC(SH:600326) Tianfeng Securities·2025-04-12 13:15Investment Rating - The report assigns a rating of "Accumulate" for the company, reflecting a downward adjustment in expectations for the years 2025-2026 [4][7]. Core Views - The company achieved a total revenue of 3.138 billion yuan in 2024, a decrease of 23.40% year-on-year, with a net profit attributable to shareholders of -104.28 million yuan, indicating a reduction in losses [1][4]. - The construction materials segment saw a revenue decline of 13% to 2.369 billion yuan, primarily due to falling prices and sales volumes of cement [2]. - The company is expected to benefit from the gradual progress of major hydropower projects, particularly the墨脱 hydropower station, which could significantly boost cement demand [4]. Financial Performance Summary - In 2024, the company reported a total revenue of 3.138 billion yuan, down from 4.097 billion yuan in 2023, with a projected revenue growth of 20.07% in 2025 [6][18]. - The EBITDA for 2024 is estimated at 467.60 million yuan, with a significant increase expected in subsequent years [6]. - The net profit attributable to shareholders is projected to improve to 144.73 million yuan in 2025, with further growth anticipated in 2026 and 2027 [6][18]. Segment Performance - The building materials segment's revenue decreased by 13% to 2.369 billion yuan, with a net profit of 3.20 million yuan, indicating a turnaround from previous losses [2]. - The construction segment experienced a 46% decline in revenue to 726 million yuan, with a net loss of 1.67 billion yuan, although there was a significant increase in new contracts signed [3]. Market Outlook - The report highlights that the company is well-positioned to benefit from the anticipated increase in cement demand due to ongoing infrastructure projects in Tibet [4]. - The expected annual cement demand increase from the墨脱 hydropower station is estimated at 3.6 million tons, which could account for approximately 30% of the company's total cement sales [2][4].