SHUANGHUI(SZ:000895) Huachuang Securities·2025-08-13 07:10Investment Rating - The report maintains a "Strong Buy" rating for the company, with a target price of 28 yuan [2][6]. Core Insights - The company's total revenue for the first half of 2025 reached 28.503 billion yuan, a year-on-year increase of 3%. The net profit attributable to shareholders was 2.323 billion yuan, up 1.17% year-on-year. In Q2 alone, total revenue was 14.208 billion yuan, reflecting a 6.31% increase year-on-year, while net profit rose by 15.74% to 1.186 billion yuan [2][6]. - The company plans to distribute a dividend of 6.5 yuan per 10 shares (including tax), totaling 2.25 billion yuan, with a payout ratio of 96.94%, resulting in a semi-annual dividend yield of 2.66% [2][6]. - The report highlights the stabilization of meat product sales and the solid dividend yield as key factors supporting the investment thesis [6]. Financial Performance Summary - Revenue Forecasts: The projected total revenue for the company is expected to grow from 59.561 billion yuan in 2024 to 65.765 billion yuan by 2027, with year-on-year growth rates of -0.6%, 4.0%, 3.0%, and 3.0% respectively [2][13]. - Net Profit Forecasts: The net profit attributable to shareholders is forecasted to increase from 4.989 billion yuan in 2024 to 5.753 billion yuan in 2027, with growth rates of -1.3%, 6.1%, 4.1%, and 4.5% respectively [2][13]. - Earnings Per Share (EPS): EPS is projected to rise from 1.44 yuan in 2024 to 1.66 yuan in 2027, with corresponding price-to-earnings (P/E) ratios of 17, 16, 16, and 15 [2][13]. Business Segment Analysis - Meat Products: In Q2 2025, the meat products segment generated revenue of 5.623 billion yuan, a slight year-on-year increase of 0.8%. The operating profit for this segment rose by 4.4% to 1.5 billion yuan, with a profit margin of 26.68% [6][8]. - Slaughtering and Other Businesses: The slaughtering segment achieved revenue of 6.767 billion yuan in Q2 2025, with a significant year-on-year decline in operating profit by 61.7% to 0.6 billion yuan, reflecting increased costs associated with market expansion [6][9]. Investment Outlook - The report anticipates stable growth in both volume and profit for the year, driven by the professionalization of meat product operations and the recovery of the slaughtering and breeding segments. The company is expected to continue leveraging new sales channels and enhance its market position [6][9].