DING LONG(SZ:300054) Ping An Securities·2025-04-30 05:53Investment Rating - The report maintains a "Recommendation" rating for the company, indicating an expectation of stock performance that exceeds market performance by 10% to 20% within the next six months [1][11]. Core Insights - The semiconductor business has become a significant driver of revenue and net profit growth for the company, with 2024 revenue reaching 3.338 billion yuan, a year-on-year increase of 25.14%, and net profit attributable to shareholders of 521 million yuan, up 134.54% year-on-year [3][4]. - The company's gross margin and net margin for 2024 were 46.88% (up 9.93 percentage points year-on-year) and 19.14% (up 8.35 percentage points year-on-year), respectively [4]. - The semiconductor segment, including semiconductor materials and integrated circuit chip design and application, generated 1.52 billion yuan in revenue in 2024, a year-on-year increase of 77.40% [4]. Financial Performance Summary - In Q1 2025, the company achieved revenue of 824 million yuan, a year-on-year increase of 16.37%, and a net profit of 141 million yuan, up 72.84% year-on-year [3][7]. - The revenue structure for 2024 showed stable operations in the general consumables business, with sales of 1.79 billion yuan, while the semiconductor business saw significant growth across various product lines [4][7]. - The company expects continued growth in net profit, projecting 715 million yuan for 2025, 938 million yuan for 2026, and 1.142 billion yuan for 2027, with corresponding EPS of 0.76 yuan, 1.00 yuan, and 1.22 yuan [7][9]. Business Segment Performance - The CMP polishing pad business generated 716 million yuan in revenue in 2024, a year-on-year increase of 71.51%, while CMP polishing liquids and cleaning liquids saw revenue of 215 million yuan, up 178.89% [4]. - The high-end wafer photoresist business received orders from major domestic wafer manufacturers for the first time in 2024, indicating a positive trend in the semiconductor materials sector [4][7]. - The company is focusing on semiconductor innovation materials, particularly in CMP process materials, photoresists, display materials, and advanced packaging materials, aiming to establish itself as a platform company in the semiconductor materials field [7].