KBC(SH:688598) Changjiang Securities·2025-05-13 02:13Investment Rating - The investment rating for the company is "Buy" and is maintained [5]. Core Views - The company reported a significant decline in revenue and net profit for 2024, with total revenue of 537 million yuan, a year-on-year decrease of 50%, and a net loss attributable to shareholders of 815 million yuan [3][4]. - In Q4 2024, the company achieved revenue of 96 million yuan, also down 50% year-on-year, with a net loss of 669 million yuan [3]. - For Q1 2025, the company reported revenue of 160 million yuan, a year-on-year decrease of 21%, and a net loss of 86 million yuan [3][4]. - The company is facing challenges such as intensified domestic market competition, price fluctuations in the supply chain, and insufficient operating rates from downstream customers [8]. - Despite these challenges, the company is focusing on promoting new products and enhancing its competitive edge through technological innovation and collaboration across various sectors, including photovoltaic, semiconductor, transportation, lithium battery, and hydrogen energy [8]. Financial Performance - The company recorded a total revenue of 537 million yuan in 2024, with a gross loss of 86 million yuan, resulting in a gross margin of -16% [14]. - The company incurred asset impairment losses totaling 582 million yuan, primarily due to fixed asset impairment losses of 455 million yuan and inventory write-downs of 128 million yuan [8]. - In Q1 2025, the company experienced a slight improvement in profitability, with a gross margin of -9.08%, recovering to the level seen in the first half of 2024 [8]. - The company plans to continue its research and development efforts, focusing on new products such as carbon-ceramic brake discs, lithium battery thermal components, photovoltaic heaters, and porous carbon [8].