Sichuan Guoguang Agrochemical (SZ:002749) NORTHEAST SECURITIES·2025-09-10 11:22Investment Rating - The report initiates coverage with a "Buy" rating for the company [3][10]. Core Views - The company achieved a revenue of 1.119 billion yuan in the first half of 2025, representing a year-on-year growth of 7.33%, with a net profit attributable to shareholders of 231 million yuan, up 6.05% year-on-year [1]. - The sales gross margin reached 48.03% in Q2 2025, marking the highest level in three years, indicating strong profitability [2][3]. - The company holds 330 pesticide product registration certificates, with 150 being plant growth regulators, making it the largest in terms of sales in this category in China [2]. - The company is advancing its comprehensive crop solutions, which are expected to drive future revenue growth by enhancing customer loyalty through targeted product offerings [3]. Financial Summary - For the first half of 2025, pesticide revenue was 781 million yuan, a year-on-year increase of 7.81%, while fertilizer revenue was 298 million yuan, up 6.99% year-on-year [2]. - The projected revenues for 2025-2027 are 2.368 billion yuan, 2.727 billion yuan, and 3.151 billion yuan, respectively, with net profits expected to be 457 million yuan, 563 million yuan, and 644 million yuan [4][3]. - The company’s PE ratios for 2025, 2026, and 2027 are projected to be 15.85x, 12.87x, and 11.25x, respectively [4][3].