SLSVC(SH:600123) Minsheng Securities·2025-08-26 08:43Investment Rating - The report maintains a "Cautious Recommendation" rating for the company [4][6] Core Views - The company's revenue for the first half of 2025 was 4.05 billion yuan, a year-on-year decrease of 26.1%, with a net profit attributable to shareholders of 57.48 million yuan, down 89.58% year-on-year [1] - The coal production and sales have recovered, but the decline in selling prices and rising costs have pressured profitability [2] - The company expects marginal improvement in product prices in the second half of the year, despite the current challenges [4] Summary by Sections Financial Performance - In H1 2025, the company achieved coal production and sales of 7.575 million tons and 6.043 million tons, respectively, with a year-on-year increase of 7.3% and 4.9% [2] - The average selling price of coal was 486.0 yuan/ton, down 23.7% year-on-year, while the unit production cost was 277.2 yuan/ton, down 9.3% year-on-year [2] - The company's net profit for Q2 2025 was 24.10 million yuan, a quarter-on-quarter decline of 94.2% [1] Business Segments - The urea production and sales in H1 2025 were 406,000 tons and 394,000 tons, down 15.1% and 17.3% year-on-year, with a comprehensive selling price of 1,590.5 yuan/ton, down 20.9% [3] - The company's urea gross margin was 5.8%, a decrease of 15.7 percentage points year-on-year [3] - The company's caprolactam business experienced increased losses due to significant price declines [3] Profit Forecast - The company forecasts net profits attributable to shareholders of 244 million yuan, 322 million yuan, and 476 million yuan for 2025, 2026, and 2027, respectively, with corresponding EPS of 0.17 yuan, 0.22 yuan, and 0.32 yuan [4][5] - The PE ratios for 2025, 2026, and 2027 are projected to be 42, 32, and 21 times, respectively [4][5]