NOVEL(002014) 华西证券·2025-04-24 15:27Investment Rating - The investment rating for the company is "Buy" [1] Core Views - The company has shown resilience in its operations despite pressures from consumer demand and international market changes, with Q1 2025 revenue reaching 848 million yuan, a year-on-year increase of 1.58% [2][3] - The company is expanding its production capacity with new projects, including a 2,000-ton pet food packaging material project and a 4,500-ton precision injection molding project, with investment returns of 32.73% and 43.59% respectively [3] - The company has established a presence in Thailand to mitigate tariff risks, indicating a strategic move to enhance its overseas market presence [3] Financial Performance - In Q1 2025, the company achieved a gross margin of 21.30%, a slight decrease of 0.76 percentage points year-on-year, while the net margin improved by 0.06 percentage points to 10.55% due to effective cost control [4] - Sales expenses decreased by 13.16% year-on-year, and management expenses fell by 14.24%, reflecting improved efficiency through digital management [4] - The company maintains stable profitability with a projected revenue of 3.818 billion yuan for 2025, with an expected EPS of 0.82 yuan [5][7] Future Outlook - The company is expected to see revenue growth of 8.3% in 2025, followed by 7.9% and 7.4% in the subsequent years [7] - The projected net profit for 2025 is 504 million yuan, with a year-on-year growth of 7.8% [7] - The company is positioned as a leader in the plastic flexible packaging industry, with a focus on vertical integration strategies to reduce costs and enhance efficiency [5]