WST(SH:688122) China Post Securities·2025-05-15 09:55Investment Rating - The report maintains a "Buy" rating for the company, expecting a relative price increase of over 20% compared to the benchmark index within the next 6 to 12 months [12]. Core Insights - The company reported a revenue of 46.12 billion yuan for 2024, a year-on-year increase of 11%, and a net profit attributable to shareholders of 8.01 billion yuan, up 6% [4][5]. - In Q1 2025, the company achieved a revenue of 10.74 billion yuan, reflecting a 35% year-on-year growth, with a net profit of 1.70 billion yuan, up 54% [4][5]. - The demand for superconducting products and titanium alloys continues to grow, contributing to steady revenue growth in 2024 [5]. - The gross profit margin improved to 33.55% in 2024, an increase of 1.68 percentage points year-on-year, with effective cost control across various expense categories [6]. - The company has established a significant supply advantage in superconducting products, benefiting from increased demand in medical, controlled nuclear fusion, and other sectors [7]. - The titanium alloy products maintain a dominant market position in the aerospace sector, with successful applications in helicopters, drones, and commercial aircraft [8]. - The company expects net profits attributable to shareholders to reach 10.07 billion, 12.30 billion, and 14.27 billion yuan for 2025, 2026, and 2027, respectively, corresponding to price-to-earnings ratios of 32, 26, and 22 times [6][10]. Financial Summary - For 2024, the company reported total revenue of 46.12 billion yuan, with a projected revenue increase to 54.49 billion yuan in 2025, representing a growth rate of 18.14% [10]. - The net profit attributable to shareholders is expected to grow from 8.01 billion yuan in 2024 to 10.07 billion yuan in 2025, reflecting a growth rate of 25.70% [10]. - The company's earnings per share (EPS) is projected to increase from 1.23 yuan in 2024 to 1.55 yuan in 2025 [10].