SHREG(000803) Guoxin Securities·2025-04-24 08:25Investment Rating - The investment rating for the company is "Outperform the Market" [5][16][20] Core Views - The company is experiencing an operational turning point, with a significant increase in net profit for Q1 2025, showing a year-on-year growth of 222% [1][2] - The sales structure of oil fats has improved, although revenue is expected to decline in 2024 due to a strategic reduction in external oil fat trade sales [1][6] - Non-operating items have significantly impacted the net profit for 2024, but the company has shown improvement in operational performance [2][6] Summary by Relevant Sections Revenue and Profitability - In 2024, the company achieved operating revenue of 1.449 billion yuan, a decrease of 31% year-on-year, with industrial-grade mixed oil business revenue declining by 42.5% [1][6] - The net profit attributable to the parent company for 2024 was 13.04 million yuan, reflecting a year-on-year increase of 47.3% [2][6] - The gross profit margin improved to 19.21% in 2024, up by 4.5 percentage points year-on-year [8] Financial Performance - The company’s financial expenses decreased to 124 million yuan in 2024, down by 28 million yuan from 2023 [2][8] - The asset-liability ratio decreased by 1.02 percentage points to 72.27% in 2024 [8] Capacity Expansion - The company has expanded its kitchen waste processing capacity to 5,490 tons per day, an increase of 860 tons per day compared to 2023 [3][15] - The net cash flow from operating activities in 2024 was 374 million yuan, supporting the capacity expansion [15] Earnings Forecast - The profit forecast for 2025-2027 has been slightly adjusted upwards, with expected net profits of 88 million, 125 million, and 145 million yuan respectively, reflecting significant growth rates [16][18]