Q1扣非业绩亮眼，经营质量持续提升

Investment Rating - The report maintains a "Buy" rating for Weixing New Materials, indicating a positive outlook for the company's stock performance in the near term [1][2]. Core Insights - In Q1 2024, Weixing New Materials achieved a revenue of 999.7 million yuan, representing a year-on-year growth of 11.19%. However, the net profit attributable to shareholders decreased by 11.56% to 154 million yuan, while the net profit excluding non-recurring items increased by 37.61% to 142 million yuan [1][2]. - The company's gross margin and net margin for Q1 were 41.48% and 15.77%, respectively, with gross margin improving by 4.30 percentage points year-on-year due to a decrease in raw material prices and an increase in retail business proportion [2]. - The company aims for a revenue target of 7.3 billion yuan in 2024, reflecting a 14% year-on-year increase, with a cost and expense target of approximately 5.7 billion yuan [2]. Financial Performance Summary - Revenue: - 2022A: 6,954 million yuan - 2023A: 6,378 million yuan - 2024E: 7,146 million yuan (12% growth) [1] - Net Profit: - 2022A: 1,297 million yuan - 2023A: 1,432 million yuan - 2024E: 1,452 million yuan (1.4% growth) [1] - ROE: - 2022A: 24.1% - 2023A: 25.4% - 2024E: 24.7% [1] - EPS: - 2022A: 0.81 yuan - 2023A: 0.90 yuan - 2024E: 0.91 yuan [1] Strategic Initiatives - The company is focusing on channel expansion and optimization in the retail sector, achieving a market share increase of over 3 percentage points in 2023. It has established over 50 sales companies nationwide and has more than 1,900 professional marketing and service personnel [2]. - Weixing New Materials is also enhancing its operational quality and risk resistance in the engineering sector while exploring new fields to create incremental growth [2].