RSPC(SZ:002493) KAIYUAN SECURITIES·2024-01-31 16:00Investment Rating - The investment rating for the company is "Buy" (maintained) [2][9]. Core Views - The company is expected to face profit pressure in 2023, with a projected net profit of 1.064 to 1.2 billion yuan, a year-on-year decline of 64.07% to 70.06%. The non-recurring net profit is expected to be between -600 million to -400 million yuan, indicating a shift from profit to loss [4]. - The report anticipates a recovery in downstream demand, which could provide profit elasticity for the company, alongside growth potential from its new materials business [4]. - The company has signed a memorandum of understanding with Saudi Aramco to discuss the acquisition of a 50% stake in the Jubail refinery and to explore expansion projects, indicating a strategic move towards enhancing its new materials business [5]. Financial Summary - The company’s revenue is projected to increase from 317.262 billion yuan in 2023 to 404.156 billion yuan in 2025, reflecting a compound annual growth rate (CAGR) of approximately 12.1% [6]. - The net profit is expected to recover significantly from 1.064 billion yuan in 2023 to 10.085 billion yuan in 2025, with an estimated year-on-year growth of 62.2% [6]. - The earnings per share (EPS) is projected to rise from 0.11 yuan in 2023 to 1.00 yuan in 2025, indicating a positive trend in profitability [6]. Market Performance - The current stock price is 9.47 yuan, with a 52-week high of 16.00 yuan and a low of 9.08 yuan [2]. - The total market capitalization of the company is approximately 95.889 billion yuan [2]. - The price-to-earnings (P/E) ratio is projected to be 90.1 for 2023, decreasing to 9.5 by 2025, suggesting an improvement in valuation as earnings recover [4][6].