Huafon Spandex(SZ:002064) Huaxin Securities·2025-08-18 07:05Investment Rating - The report maintains a "Buy" investment rating for the company [1] Core Views - The industry is under pressure, and the company is waiting for downstream demand recovery [5] - The company's revenue for the first half of 2025 was 12.137 billion yuan, a year-on-year decrease of 11.7%, with a net profit attributable to shareholders of 983 million yuan, down 35.23% year-on-year [4][5] - The chemical fiber segment showed a gross margin increase of 3.68 percentage points despite a revenue decline [5] - Future growth is expected as the economy recovers and downstream demand is released, particularly with advancements in domestic technology [7][8] Summary by Sections Financial Performance - In Q2 2025, the company achieved a revenue of 5.823 billion yuan, down 17.84% year-on-year and 7.78% quarter-on-quarter, with a net profit of 479 million yuan, down 42.61% year-on-year [4][5] - The revenue breakdown shows a decline in various segments: chemical fibers down 9.43%, new chemical materials down 8.82%, and basic chemical products down 15.01% [5] Profitability and Cost Structure - The gross margin for the chemical fiber segment was 18.65%, an increase of 3.68 percentage points year-on-year, while the gross margin for basic chemical products was 4.37%, a decrease of 11.08 percentage points [5][6] - The financial expense ratio increased mainly due to a decrease in interest income [6] Future Outlook - The company forecasts net profits for 2025-2027 to be 2.101 billion, 3.057 billion, and 3.588 billion yuan respectively, with corresponding P/E ratios of 18.3, 12.6, and 10.7 [9] - The report anticipates that the integration of the polyurethane industry will lead to profit growth in the long term [9]