EMT(SH:601208)2025-05-09 11:00Investment Rating - The report maintains an "Outperform" rating for the company [5][10]. Core Views - The company is expected to achieve net profits attributable to shareholders of 418 million, 480 million, and 607 million RMB for the years 2025, 2026, and 2027 respectively, with corresponding EPS of 0.47, 0.53, and 0.68 RMB [5][10]. - A target price of 11.75 RMB is set for 2025, reflecting a 25X PE valuation, considering the competitive landscape in solar backsheet and specialty epoxy resin products [5][10]. Financial Summary - In 2024, the company reported revenue of 4.47 billion RMB, a year-on-year increase of 19.60%, while net profit attributable to shareholders was 181 million RMB, down 44.54% year-on-year [5][11]. - For Q1 2025, the company achieved revenue of 1.13 billion RMB, a 23.23% increase year-on-year, with net profit attributable to shareholders of 91.88 million RMB, up 81.16% year-on-year [5][11]. - The revenue breakdown for 2024 includes: electrical insulation materials at 470 million RMB (up 29.86% YoY), new energy materials at 1.38 billion RMB (up 5.61% YoY), optical film materials at 1.13 billion RMB (up 17.37% YoY), electronic materials at 1.07 billion RMB (up 30.02% YoY), and eco-friendly flame retardant materials at 146 million RMB (up 18.10% YoY) [5][11]. Business Development - The company is enhancing its electronic materials sector by focusing on growth opportunities in AI and low-orbit satellite communications, with a subsidiary investing in a project to produce 20,000 tons of high-speed communication substrate electronic materials [5][12].