YONGXING MATERIALS(002756) 民生证券·2024-05-02 02:00Investment Rating - The report maintains a "Recommended" rating for the company [2][3]. Core Views - The company reported a revenue of 12.19 billion yuan in 2023, a decrease of 21.8% year-on-year, with a net profit attributable to shareholders of 3.41 billion yuan, down 46.1% year-on-year [2]. - The company has a significant cost advantage in lithium extraction from mica, with the cost per ton of lithium carbonate reduced to 53,000 yuan, a decrease of 4.2% year-on-year [2]. - The company is focusing on an integrated layout in lithium extraction, with a total capacity of 3 million tons for lithium mica mining and 30,000 tons for lithium salt as of the end of 2023 [2]. Financial Performance Summary - In Q4 2023, the company achieved a revenue of 2.49 billion yuan, down 47.3% year-on-year, and a net profit of 0.35 billion yuan, down 82.7% year-on-year [2]. - For Q1 2024, the company reported a revenue of 2.30 billion yuan, an increase of 31.1% year-on-year, but a net profit of 0.47 billion yuan, down 49.7% year-on-year [2]. - The company plans to distribute a cash dividend of 1.06 billion yuan for 2023, resulting in a total cash dividend of 1.75 billion yuan for the year, with a dividend payout ratio of 51.3% [2]. Future Outlook - The company is expected to achieve net profits attributable to shareholders of 1.46 billion yuan, 1.89 billion yuan, and 2.39 billion yuan for 2024, 2025, and 2026, respectively, corresponding to PE ratios of 18, 14, and 11 times based on the closing price on April 30 [2][3]. - The company is actively optimizing its product structure in the special steel segment, achieving a revenue of 6.91 billion yuan in 2023, with a gross profit of 0.83 billion yuan, up 37.4% year-on-year [2].