DKEM(SZ:300842) Soochow Securities·2025-04-29 08:13Investment Rating - The investment rating for the company is "Buy" [1] Core Views - The company maintains a leading market share in N-type silver paste, with a significant portion of its production expected to transition to high copper paste in the second half of 2025, which is anticipated to enhance profitability [7] - The company's Q1 2025 revenue was 4.06 billion yuan, with a year-on-year increase of 154.94%, while the net profit attributable to shareholders was 0.35 billion yuan, reflecting a year-on-year increase of 2,336.51% [7] - The report highlights that the company is expected to achieve a stable profit margin despite increased competition, with a projected net profit of 3.9 billion yuan in 2025, growing to 6.7 billion yuan by 2027 [7] Financial Summary - Total revenue forecast for 2023A is 9.603 billion yuan, with a projected growth to 20.822 billion yuan by 2027E, reflecting a compound annual growth rate [8] - The net profit attributable to shareholders is expected to increase from 385.64 million yuan in 2023A to 668.75 million yuan in 2027E, indicating a strong growth trajectory [8] - The earnings per share (EPS) is projected to rise from 2.74 yuan in 2023A to 4.75 yuan in 2027E, showcasing the company's improving profitability [8]