EMT(SH:601208) HTSC·2025-08-28 08:26Investment Rating - The report maintains an investment rating of "Buy" for the company [1][4]. Core Insights - The company reported a year-on-year revenue increase of 15% to 2.43 billion RMB in H1 2025, with a net profit of 190 million RMB, reflecting a 19% increase year-on-year [1]. - The growth in electronic materials is attributed to a successful increase in sales volume and higher average prices, particularly in high-value products [2]. - The company is actively expanding into new application areas and has several projects progressing on schedule, including production capacity enhancements and new product lines [3]. Revenue and Profitability - In H1 2025, the electronic materials segment saw an 18% increase in sales volume to 34,000 tons, with revenue up 29% to 690 million RMB [2]. - The optical film segment's sales volume increased by 29% to 57,000 tons, with revenue rising 25% to 640 million RMB despite a slight decrease in average price [2]. - The new energy materials segment experienced a 30% decline in sales volume to 27,000 tons, but the average price increased by 32% to 24,000 RMB per ton [2]. Future Projections - The report projects a significant increase in net profit for 2025-2027, with estimates of 470 million RMB, 720 million RMB, and 850 million RMB respectively, reflecting year-on-year growth rates of 158%, 53%, and 19% [4]. - The expected EPS for 2025, 2026, and 2027 is projected to be 0.47 RMB, 0.72 RMB, and 0.86 RMB respectively [4]. - The target price for the company's stock is set at 21.60 RMB, based on a 30x PE valuation for 2026 [4].