JIULI Hi-tech(SZ:002318) Orient Securities·2025-09-21 02:46Investment Rating - The report maintains a "Buy" rating for the company with a target price of 31.68 CNY [6][3]. Core Views - The company has demonstrated strong profit growth, with a 26.39% year-on-year increase in revenue for the first half of 2025, reaching 6.105 billion CNY. The net profit attributable to the parent company increased by 36.44% to 804 million CNY [10]. - The gross margin for seamless pipes reached a new high of 34.35%, reflecting the company's competitive edge and cost advantages in high-end products [10]. - The company is well-positioned to benefit from the growing demand in deep-sea and acidic oil and gas markets, with over 60% of its revenue coming from these sectors. The company has established long-term partnerships with major global firms [10]. - The company is expanding its production capacity, with several key projects nearing completion, which is expected to inject new growth potential [10]. Financial Summary - Revenue projections for 2025-2027 are adjusted to 13.178 billion CNY, 10.823 billion CNY, and 11.289 billion CNY, respectively, with corresponding EPS estimates of 1.83 CNY, 1.62 CNY, and 1.70 CNY [3]. - The company’s financial metrics show a consistent increase in gross margin, net profit margin, and return on equity (ROE) over the forecast period [5][13]. - The projected net profit for 2025 is 1.787 billion CNY, with a year-on-year growth of 19.9% [5].