wanhua(600309) Bank of China Securities·2025-04-18 01:47Investment Rating - The report maintains a "Buy" rating for the company, with a market price of RMB 55.35 and a sector rating of "Outperform" [1][5]. Core Views - The company demonstrated resilience in its performance despite a challenging external environment, with new production facilities coming online and advancements in new material products [5][7]. - The company reported a revenue of RMB 182.07 billion for 2024, a year-on-year increase of 3.83%, while the net profit attributable to shareholders decreased by 22.49% to RMB 13.03 billion [5][11]. - The report highlights the successful production ramp-up of multiple facilities in the industrial park and the acceleration of new material product commercialization [5][10]. Summary by Relevant Sections Financial Performance - In 2024, the company achieved a total revenue of RMB 182,069 million, with a growth rate of 3.83%. The net profit attributable to shareholders was RMB 13,033 million, reflecting a decline of 22.49% [9][11]. - The first quarter of 2025 saw a revenue of RMB 43,068 million, down 6.70% year-on-year, with a net profit of RMB 3,082 million, a decrease of 25.87% [13]. Business Segments - The company’s three main business segments—polyurethane, petrochemicals, and fine chemicals—saw revenue growth in 2024, with increases of 12.55%, 4.60%, and 18.61% respectively [10]. - The company is the largest global supplier of MDI and TDI, with significant capacity expansions planned for the future [10]. Innovation and Development - The company continues to invest in technological innovation, achieving breakthroughs in battery materials and high-end new materials, which are expected to enhance its competitive position [10][11]. - The report emphasizes the successful development of key products that break foreign monopolies, maintaining the company's leading position in the MDI and TDI markets [10]. Valuation - The report adjusts the earnings forecast for 2025-2027, projecting EPS of RMB 4.27, RMB 5.59, and RMB 5.59 respectively, with the current stock price corresponding to a PE ratio of 12.9 times for 2025 [7][9].