YYTH(SH:600096) Guoxin Securities·2024-03-25 16:00Investment Rating - The report maintains a "Buy" rating for the company [1][20][21] Core Views - The company is focused on enhancing its phosphate resource security and advancing green, high-quality development. Despite a decline in revenue and net profit due to external market fluctuations, the company has demonstrated operational resilience through integrated operations and cost control [1][5][20]. - The company aims to become a world-class provider of fertilizers, modern agriculture, and fine chemical products, leveraging its resource advantages and expanding its industrial chain [2][19]. Summary by Relevant Sections Financial Performance - In 2023, the company achieved revenue of 69.06 billion yuan, a decrease of 8.3% year-on-year, and a net profit of 4.522 billion yuan, down 24.9% year-on-year. The company plans to distribute a cash dividend of 10 yuan per 10 shares [1][5]. - The company’s financial expenses decreased year-on-year, and its asset-liability ratio improved to 58.13% [1][6]. Resource and Market Position - The company is one of the largest phosphate mining enterprises in China, with an annual production capacity of 14.5 million tons. It has secured exploration rights for a significant phosphate mine in Yunnan, enhancing its resource security [1][10][11]. - The company’s phosphate fertilizer exports accounted for over 20% of the domestic export volume, with significant increases in export volumes for monoammonium phosphate and diammonium phosphate in 2023 [1][13]. Product and Pricing Trends - The company reported increased sales volumes for several products, including compound fertilizers and urea, while prices for major products declined [5][12]. - The average prices for key products such as urea and phosphate fertilizers saw year-on-year decreases, reflecting market conditions [5][12]. Future Outlook - The company expects to continue benefiting from its competitive advantages in phosphate resources and technology, with a focus on high-end fine phosphate chemical products [2][19]. - Profit forecasts for 2024-2026 are adjusted to 4.550 billion, 4.622 billion, and 4.753 billion yuan, respectively, with expected growth rates of 0.6%, 1.6%, and 2.8% [21].