ZJJH(SH:600160)2024-04-30 14:30Investment Rating - The report maintains a "Buy" rating for the company [1][5] - The market price is reported at RMB 23.65, with a sector rating of "Outperform" [1] Core Insights - The company's net profit attributable to shareholders saw a significant increase in Q1 2024, driven by an optimistic outlook for the refrigerant industry and improved performance from the fluorochemical sector [5] - The report highlights a substantial recovery in Q1 2024, with a year-on-year net profit growth of 103.35% and a revenue increase of 19.52% [5] Summary by Relevant Sections Financial Performance - In 2023, the company reported revenue of RMB 20.655 billion, a decrease of 3.88% year-on-year, and a net profit of RMB 944 million, down 60.37% [5][11] - For Q4 2023, revenue was RMB 4.643 billion, a decline of 9.19% year-on-year, with a net profit of RMB 196.72 million, down 71.15% [8][9] - In Q1 2024, revenue reached RMB 5.470 billion, up 19.52% year-on-year, and net profit was RMB 310.31 million, reflecting a 103.35% increase [9][11] Industry Outlook - The report anticipates an improvement in the refrigerant industry's market conditions, supported by the company's leading production quotas and ongoing optimization of its fluorochemical business [5][11] - The company holds significant market shares in various refrigerant categories, with production quotas for R32, R125, R134a, and others being among the highest in the country [5][11] Valuation - The report adjusts earnings forecasts, projecting earnings per share (EPS) of RMB 0.96, RMB 1.31, and RMB 1.60 for 2024, 2025, and 2026 respectively, with corresponding price-to-earnings (PE) ratios of 24.7, 18.0, and 14.8 [5][11] - The anticipated recovery in refrigerant prices and overall industry conditions is expected to drive performance growth [5][11]