Long Ping High-Tech(SZ:000998) KAIYUAN SECURITIES·2025-08-26 09:13Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company's revenue for H1 2025 is 2.166 billion yuan, a year-on-year decrease of 16.11%, with a net profit attributable to the parent company of -164 million yuan, indicating a loss compared to the previous year. In Q2 2025, revenue was 757 million yuan, an increase of 48.62% year-on-year, but the net profit attributable to the parent company was still a loss of -162 million yuan [4] - The report maintains profit forecasts, expecting net profits attributable to the parent company to be 348 million yuan, 404 million yuan, and 502 million yuan for 2025, 2026, and 2027 respectively, with EPS of 0.24, 0.28, and 0.34 yuan, corresponding to PE ratios of 43.4, 37.4, and 30.1 times [4] Revenue Breakdown - For H1 2025, revenue from rice seeds was 779 million yuan, down 6.98% year-on-year, with a gross margin of 42.20%, up 2.65 percentage points. The company continues to leverage strategic opportunities in low-cadmium green varieties to maintain its leading position in the industry [5] - Revenue from corn seeds in H1 2025 was 907 million yuan, down 26.14% year-on-year, with a gross margin of 25.51%, up 7.38 percentage points. The decline in revenue is attributed to oversupply in the domestic corn market, increased inventory pressure, and intensified market competition [5] - The Brazilian corn business achieved revenue of 868 million yuan in H1 2025, a year-on-year increase of 2.11%, with a significant reduction in losses [5] Research and Development - In H1 2025, the company invested 280 million yuan in R&D, establishing an efficient and low-cost corn breeding research system to enhance market competitiveness. The company obtained 107 authorized plant variety rights, including 68 for rice and 37 for corn [6] - As of the end of H1 2025, the company has accumulated a total of 1,075 authorized plant variety rights, highlighting its strong position as a leading seed company [6] Financial Summary and Valuation Indicators - The company's total market capitalization is 14.827 billion yuan, with a circulating market capitalization of 13.269 billion yuan. The total share capital is 1.469 billion shares, with a circulating share capital of 1.315 billion shares [1] - The financial projections indicate a revenue of 8.979 billion yuan for 2025, with a year-on-year growth of 4.8%, and a net profit of 348 million yuan, representing a year-on-year increase of 205.8% [8]