ANGEL YEAST(SH:600298) GOLDEN SUN SECURITIES·2025-04-28 03:27Investment Rating - The report maintains a "Buy" rating for the company [3][6] Core Views - The company's main business shows steady growth with profit elasticity trending upwards, as evidenced by a 8.9% year-on-year revenue increase to CNY 3.79 billion in Q1 2025, and a 16.0% increase in net profit to CNY 370 million [1][2] - The company is expected to achieve a revenue growth rate of over 10% year-on-year for 2025, with strong performance in both domestic and international markets [2][3] Summary by Sections Financial Performance - In Q1 2025, the company achieved revenues of CNY 37.9 billion, with a breakdown of CNY 27.7 billion from yeast and deep processing, CNY 1.6 billion from sugar, CNY 1.0 billion from packaging, and CNY 7.6 billion from other businesses [1] - The gross profit margin increased by 1.3 percentage points to 26.0%, attributed to a higher proportion of high-margin yeast business and a decrease in molasses costs [2] - The net profit margin improved by 0.7 percentage points to 10.2% in Q1 2025 [2] Revenue and Profit Forecast - The company is projected to achieve net profits of CNY 1.6 billion, CNY 1.9 billion, and CNY 2.2 billion for the years 2025, 2026, and 2027, respectively, reflecting year-on-year growth rates of 20.5%, 17.4%, and 18.2% [3][5] - The current stock price corresponds to a price-to-earnings (P/E) ratio of 18, 16, and 13 for the years 2025, 2026, and 2027, indicating that the valuation is at a historical low [3][5]