STL(SZ:002648) Guohai Securities·2024-03-26 16:00Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company achieved significant revenue growth in 2023, with total revenue reaching 41.487 billion yuan, a year-on-year increase of 12% [3][4] - The net profit attributable to shareholders was 4.789 billion yuan, reflecting a substantial year-on-year growth of 54.71% [3][4] - The company is actively advancing its α-olefin comprehensive utilization project, which is expected to enhance its long-term growth prospects [8][10] Financial Performance Summary - In Q4 2023, the company reported revenue of 10.605 billion yuan, a year-on-year increase of 14.37% [3][6] - The net profit for Q4 2023 was 1.396 billion yuan, showing a remarkable year-on-year increase of 2693.91% [3][6] - The average return on equity (ROE) for 2023 was 19.69%, up by 4.77 percentage points from the previous year [3][4] Market Data - The company's total market capitalization is approximately 56.22 billion yuan [4] - The stock price has fluctuated between 12.42 and 17.55 yuan over the past 52 weeks [4] Product Performance - The functional chemicals segment generated revenue of 21.289 billion yuan, with a gross margin of 15.57% [4][12] - The high polymer materials segment saw revenue growth of 61.92%, achieving 11.916 billion yuan in revenue with a gross margin of 29.56% [4][12] - The new energy materials segment reported a revenue increase of 99.97%, reaching 0.465 billion yuan [4][12] Price Trends - The average price of propane in 2023 was 632 USD/ton, down 16.24% year-on-year, while the average price of ethane was 177 USD/ton, down 48.58% [4][10] - The price spread for polyethylene increased by 23.06% year-on-year, reaching 6283 yuan/ton [4][10] Future Outlook - The company forecasts net profits of 6.520 billion yuan, 7.667 billion yuan, and 10.388 billion yuan for 2024, 2025, and 2026, respectively [10][52] - The projected price-to-earnings (PE) ratios for the same years are 8.62, 7.33, and 5.41 [10][52]