DFD(SZ:002407) EBSCN·2025-05-06 03:00Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected investment return that will outperform the market benchmark by more than 15% over the next 6-12 months [6][15]. Core Views - The company reported a significant improvement in net profit for Q1 2025, with a net profit of 0.65 billion yuan, a year-on-year increase of 69.24% and a quarter-on-quarter increase of 3.98 billion yuan [1][2]. - The company is progressing steadily in capacity construction, with a complete industrial chain from fluorine resources to lithium battery production, which is expected to provide substantial growth momentum in the long term [3][4]. Summary by Sections Financial Performance - In 2024, the company achieved an operating income of 8.207 billion yuan, a year-on-year decrease of 31.25%, and a net profit attributable to the parent company of -0.308 billion yuan, a decrease of 0.818 billion yuan year-on-year [1][2]. - For Q1 2025, the company reported an operating income of 2.098 billion yuan, a year-on-year decrease of 2.09% but a quarter-on-quarter increase of 57.68% [1][2]. Revenue Breakdown - In 2024, the revenue from various segments was as follows: fluorine-based new materials (2.693 billion yuan, +20.42%), electronic information materials (0.935 billion yuan, -24.52%), new energy materials (2.593 billion yuan, -45.93%), and new energy batteries (1.611 billion yuan, -38.33%) [2]. Capacity and Production - The company has a total production capacity that includes 330,000 tons/year of anhydrous aluminum fluoride, 65,000 tons/year of lithium hexafluorophosphate, and 60,000 tons/year of electronic-grade hydrofluoric acid, among others [3]. - Ongoing projects include a 30,000 tons/year anhydrous aluminum fluoride project and a 20 GWh lithium battery project, expected to enhance production capabilities significantly [3]. Research and Development - The company is increasing its R&D investment in the lithium battery sector, focusing on safety and efficiency improvements in its products, such as the "Fluorine Core" cylindrical battery [4]. Profit Forecast and Valuation - The profit forecast for 2025-2027 has been adjusted upwards, with expected net profits of 0.281 billion yuan (up 79.5%), 0.336 billion yuan (up 34.3%), and 0.446 billion yuan respectively [4][5].