DHE(SZ:002221) Changjiang Securities·2025-08-25 09:22Investment Rating - The investment rating for the company is "Buy" and is maintained [9]. Core Insights - The company reported a revenue of 16.283 billion yuan for the first half of 2025, representing a year-on-year increase of 13.28%. However, the net profit attributable to shareholders was 0.066 billion yuan, a decrease of 39.80% year-on-year. The net profit excluding non-recurring items was 0.035 billion yuan, down 31.06% year-on-year [2][6]. - The PDH (Propane Dehydrogenation) industry is currently experiencing low demand, with the company's production capacity for PDH and PP (Polypropylene) ranking among the top in China. The company is expected to become the world's largest PP producer after the completion of the Maoming project [12]. - The company is focusing on developing a carbon fiber-based composite materials and hydrogen energy industry chain, with significant investments in research and development for low-cost carbon fiber manufacturing [12]. - The Maoming base has a competitive advantage due to its port and terminal resources, which contribute to lower transportation costs and enhance the company's market position [12]. - The projected net profits for the company from 2025 to 2027 are estimated to be 0.23 billion yuan, 0.38 billion yuan, and 0.58 billion yuan, respectively, with corresponding PE ratios of 61.1X, 37.1X, and 24.1X [12]. Financial Performance - In the second quarter of 2025, the company achieved a revenue of 8.303 billion yuan, a year-on-year increase of 14.36% and a quarter-on-quarter increase of 4.06%. However, the net profit attributable to shareholders was only 0.014 billion yuan, down 74.70% year-on-year and 73.77% quarter-on-quarter [2][6]. - The production of propylene in the first half of 2025 was 524,400 tons, achieving 46.6% of the annual target, while polypropylene production was 574,900 tons, achieving 48.4% of the annual target [12].