Hoshine Silicon(SH:603260) KAIYUAN SECURITIES·2024-05-05 15:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has shown a quarter-on-quarter net profit growth of 20.45% in Q1 2024, indicating potential in extending its industrial chain [4][5] - The company is recognized as a leader in industrial silicon and organic silicon in China, with promising prospects for extending into downstream industries such as photovoltaics [4][5] Financial Performance Summary - In 2024, the company is expected to achieve a revenue of 26.584 billion yuan, a year-on-year increase of 12.37%, with a net profit of 2.623 billion yuan, a year-on-year decrease of 49.05% [4][6] - For Q1 2024, the company reported a revenue of 5.416 billion yuan, a year-on-year decrease of 5.46% and a quarter-on-quarter decrease of 19.14%, with a net profit of 528 million yuan, a year-on-year decrease of 47.36% but a quarter-on-quarter increase of 20.45% [4][6] - The company’s sales volume for industrial silicon and organic silicon in 2023 was approximately 1.02 million tons and 860,000 tons, respectively, with year-on-year increases of 74% and 46% [4][5] Price and Profitability Metrics - The average selling price for industrial silicon and organic silicon in 2024 is projected to be 13,385 yuan/ton and 14,434 yuan/ton, respectively, with year-on-year decreases of 24% and 35% [4][5] - The gross profit per ton for industrial silicon and organic silicon is expected to be 3,946 yuan/ton and 1,353 yuan/ton, reflecting year-on-year decreases of 38% and 81% [4][5] Future Outlook - The company is actively extending its industrial chain, with projects such as the photovoltaic integrated industrial park in Xinjiang and the "Green-Electric-Silicon" circular economy production base in Yunnan progressing steadily [5] - The company anticipates a recovery in profitability for industrial silicon and organic silicon products as the national economy further recovers [5]