Kings(SH:603505) KAIYUAN SECURITIES·2025-04-24 06:23Investment Rating - The investment rating for the company is "Buy" (maintained) [2] Core Views - The company achieved a record high revenue of 2.752 billion yuan in 2024, representing a year-on-year increase of 45.17%. However, the net profit attributable to shareholders decreased by 26.33% to 257 million yuan. The operating cash flow significantly increased by 6,841.53% to 548 million yuan [6] - In Q1 2025, the company reported a revenue of 859 million yuan, a year-on-year increase of 91.68%, and a net profit of 67 million yuan, up by 10.46% [6] - The report indicates that the company's performance in 2024 was under pressure mainly due to the decline in lithium industry profitability, reduced sales volume of single minerals, and increased safety and environmental investments, which led to a decrease in gross margin by 5.83 percentage points [6] - The report anticipates a recovery in performance due to the favorable conditions in the fluorite industry and the ongoing progress of various projects [6] Financial Summary - The company’s financial projections for 2025-2027 include net profits of 476 million yuan, 697 million yuan, and 973 million yuan respectively, with corresponding EPS of 0.79 yuan, 1.14 yuan, and 1.61 yuan [6][8] - The projected P/E ratios for 2025, 2026, and 2027 are 29.0, 20.0, and 14.2 respectively, indicating a potential undervaluation based on future earnings growth [6][8] - The company aims to achieve sales of 400,000 to 450,000 tons of single fluorite minerals and 600,000 to 700,000 tons of fluorite powder in 2025 [6]