EMT(SH:601208) Haitong Securities International·2025-05-09 08:28Investment Rating - The report maintains an "Outperform" rating for the company [5][10]. Core Views - The company is expected to see a rebound in net profit attributable to shareholders, with forecasts of 418 million, 480 million, and 607 million RMB for 2025, 2026, and 2027 respectively, translating to EPS of 0.47, 0.53, and 0.68 RMB [5][10]. - The target price is set at 11.75 RMB, reflecting a 25X PE for 2025, which is a slight increase of 9% from the current price [5][10]. - The company is focusing on high-value products such as high-speed electronic resins and high-end optical polyester films, which are expected to drive revenue growth [1][11]. Financial Summary - In 2024, the company achieved a revenue of 4.47 billion RMB, a year-on-year increase of 19.60%, while the net profit attributable to shareholders was 181 million RMB, down 44.54% year-on-year [5][11]. - For Q1 2025, the company reported a revenue of 1.13 billion RMB, up 23.23% year-on-year, with a net profit attributable to shareholders of 91.88 million RMB, reflecting an impressive growth of 81.16% year-on-year [5][11]. - The revenue breakdown for 2024 includes electrical insulation materials at 470 million RMB (up 29.86%), new energy materials at 1.38 billion RMB (up 5.61%), optical film materials at 1.13 billion RMB (up 17.37%), electronic materials at 1.07 billion RMB (up 30.02%), and eco-friendly flame retardant materials at 146 million RMB (up 18.10%) [5][11]. Industry Positioning - The company is enhancing its electronic materials sector by investing in a project for high-speed communication substrate electronic materials, targeting growth opportunities in AI and low-orbit satellite communications [12].