DMEGC(SZ:002056) Changjiang Securities·2025-08-25 23:30Investment Rating - The investment rating for the company is "Buy" and it is maintained [7]. Core Views - The company reported a revenue of 11.936 billion yuan for H1 2025, representing a year-on-year growth of 24.75%. The net profit attributable to shareholders was 1.02 billion yuan, up 58.94% year-on-year. In Q2 2025, revenue reached 6.713 billion yuan, with a year-on-year increase of 25.87% and a quarter-on-quarter increase of 28.55%. The net profit for Q2 was 562 million yuan, reflecting a year-on-year growth of 94.8% and a quarter-on-quarter growth of 22.69% [2][5]. Financial Performance - In H1 2025, the photovoltaic business shipped 13.4 GW, a year-on-year increase of over 65%, with a gross margin of 16.70%, up 5.29 percentage points. This was driven by full production and sales of overseas battery capacity, strict cost control, and continuous development of differentiated new products. The battery production efficiency improved to 26.85%, and R&D efficiency reached 27.25% [10]. - The magnetic materials business shipped 107,300 tons in H1 2025, with a gross margin of 27.71%, an increase of 1.22 percentage points year-on-year. The company has solidified its leading position in the market and is actively expanding into new products [10]. - The lithium battery business shipped over 300 million units in H1 2025, a year-on-year increase of 12.25%, with a gross margin of 12.90%, up 2.06 percentage points. The company maintained industry-leading utilization rates and launched several high-capacity new products [10]. Future Outlook - The company is expected to achieve a net profit attributable to shareholders of 2 billion yuan in 2025, corresponding to a price-to-earnings ratio of approximately 14 times. The company will continue to focus on differentiated products and market entry while enhancing product power through technological upgrades and process optimization [10].