锂价趋稳，业绩有望继续改善

Investment Rating - The report maintains a "Buy" rating for the company, with a reasonable value estimated at 20.91 CNY per share based on a 20x PE valuation for 2024 [3][6]. Core Insights - The company's Q1 net profit attributable to shareholders was -140 million CNY, showing an improvement in loss compared to the previous quarter. Revenue for Q1 was 1.21 billion CNY, down 56% year-on-year and down 8% quarter-on-quarter. The gross profit was 50 million CNY, down 92% year-on-year but turned positive from a loss of 50 million CNY in Q4 2023 [1][2]. - Lithium prices have stabilized, which is expected to lead to continued improvement in the company's profitability. The company has a higher lithium salt production capacity compared to its lithium ore production capacity, which mitigates the impact of raw material price fluctuations [1][2]. - The report forecasts EPS for 2024, 2025, and 2026 to be 1.05, 1.15, and 1.21 CNY per share, respectively, with corresponding PE ratios of 17.0, 15.4, and 14.6 [2][3]. Financial Summary - Q1 revenue was 1.21 billion CNY, with a gross profit of 50 million CNY and a net profit of -140 million CNY. The operating cash flow was 450 million CNY, down 23% year-on-year and down 22% quarter-on-quarter [1][2]. - The company's total assets were 20.75 billion CNY, with a debt-to-asset ratio of 41.19%, an increase of 5.16 percentage points from the beginning of the year [1][7]. - The projected revenue for 2024 is 7.596 billion CNY, with a growth rate of -4.5%, followed by 11.424 billion CNY in 2025, representing a growth rate of 50.4% [2][8].