HYPC(SZ:000703) Guohai Securities·2026-01-06 06:36Investment Rating - The investment rating for Hengyi Petrochemical is "Buy" (maintained) [1] Core Views - The report highlights the full launch of the Brunei Refinery Phase II project, with an optimized design capacity of 12 million tons per year, aiming for completion by the end of 2028, which will increase the total capacity of the Brunei refinery to 20 million tons per year [7][9] - The report emphasizes the confidence of the controlling shareholder in the company's long-term development, as evidenced by a share buyback plan amounting to no less than 1.5 billion yuan and no more than 2.5 billion yuan, with an adjusted maximum purchase price of 15 yuan per share [8][13] - The company is expected to see significant revenue growth, with projected revenues of 129.23 billion yuan, 147.06 billion yuan, and 154.42 billion yuan for 2025, 2026, and 2027 respectively, alongside net profits of 4.81 billion yuan, 7.91 billion yuan, and 9.73 billion yuan for the same years [14][15] Summary by Relevant Sections Recent Performance - Hengyi Petrochemical has outperformed the CSI 300 index significantly over the past year, with a 12-month performance of 74.1% compared to the index's 25% [6] Project Developments - The Brunei Refinery Phase II project is expected to enhance the company's integrated industrial chain and scale advantages, improving market share and product structure while reducing production costs [9][10] Market Conditions - The report notes a tightening supply of refined oil in Southeast Asia, with a projected increase in demand and a significant supply gap expected to reach 68 million tons by 2026, creating strategic opportunities for companies with technological advantages [10] Financial Projections - The financial forecasts indicate a recovery in profitability, with net profit growth rates of 106% in 2025 and 64% in 2026, reflecting the company's strong market position and operational efficiency [14][15]