WEIXING NBM(SZ:002372) Dongguan Securities·2025-04-16 08:02Investment Rating - The investment rating for the company is "Accumulate (Maintain)" [2][8] Core Views - The company reported a revenue of 6.267 billion yuan in 2024, a year-on-year decrease of 1.75%, and a net profit attributable to shareholders of 953 million yuan, down 33.49% year-on-year. Despite the overall decline, the fourth quarter showed a recovery with a revenue of 2.494 billion yuan, a quarter-on-quarter increase of 74.46% [6] - The company maintains a high gross profit margin of 41.97%, although it decreased by 2.61% compared to the previous year. The sales volume of pipes slightly increased, with a total production of 302,400 tons, a decrease of 0.02% year-on-year, while sales reached 300,400 tons, an increase of 2.3% year-on-year [6] - The company plans to distribute a cash dividend of 5.00 yuan per 10 shares (including tax), reflecting its commitment to shareholder returns [6] Summary by Relevant Sections Financial Performance - In 2024, the company achieved total revenue of 6.267 billion yuan and a net profit of 953 million yuan, with basic earnings per share of 0.61 yuan, down 32.22% year-on-year. The fourth quarter showed a revenue of 2.494 billion yuan, down 5.26% year-on-year but up 74.46% quarter-on-quarter [6][7] - The company’s return on equity (ROE) for the trailing twelve months (TTM) is 18.71% [5] Sales and Margins - The sales revenue from PPR, PE, and PVC products were 2.938 billion yuan, 1.423 billion yuan, and 827 million yuan, respectively, with year-on-year changes of -1.72%, -6.9%, and -8.09% [6] - The gross profit margins for PPR, PE, and PVC were 56.47%, 31.4%, and 21.75%, respectively, showing a decline compared to the previous year [6] Expenses - Total sales expenses increased to 948 million yuan, a year-on-year increase of 14.04%. The overall expense ratio for 2024 was 22.17%, an increase of 2.34 percentage points from 2023 [6][7] Future Outlook - The company is positioned as a technological leader in the domestic PPR pipe industry, with a strong competitive moat. Future infrastructure investments and a recovery in the real estate market are expected to drive demand [6] - The company’s strategic planning aims to enhance market share and strengthen risk control, which is anticipated to lead to sustainable and steady growth [6]