DEHUA TB(SZ:002043) Guoxin Securities·2025-08-21 08:29Investment Rating - The investment rating for the company is "Outperform the Market" [5][26]. Core Views - The company continues to optimize its channel product structure and maintain high dividend payouts, with a proposed mid-term dividend of 2.8 yuan per share (before tax) [8][26]. - Despite a challenging market environment, the company has managed to achieve a slight increase in net profit, with a year-on-year growth of 9.71% in the first half of 2025 [8][26]. - The company is focusing on enhancing its multi-channel operations and product structure, introducing high-value-added products to improve customer value and profitability [2][26]. Financial Performance Summary - In H1 2025, the company reported revenue of 3.63 billion yuan, a year-on-year decrease of 7.01%, while the net profit attributable to shareholders was 268 million yuan, an increase of 9.71% [8][26]. - The company's gross margin for H1 2025 was 18.3%, a decrease of 0.8 percentage points year-on-year, while the operating cash flow was 110 million yuan, down 61.4% year-on-year [3][17]. - The company’s revenue from decorative materials and custom home business was 2.99 billion yuan and 620 million yuan, respectively, with the custom home segment showing a slight growth of 4.46% [2][12]. Earnings Forecast and Valuation - The earnings per share (EPS) forecast for 2025-2027 is adjusted to 0.87, 1.01, and 1.15 yuan, respectively, with corresponding price-to-earnings (PE) ratios of 11.9, 10.3, and 9.1 times [26][30]. - The company maintains a high dividend payout ratio of 86.7%, reflecting its commitment to shareholder returns [26][30].