Hoshine Silicon(SH:603260) Guohai Securities·2024-05-06 12:30Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company experienced a decline in profit in 2023 but showed signs of recovery in Q1 2024, with expectations for industry improvement [1][4] - The company is expanding its production capacity and diversifying its product offerings, which is expected to drive future growth [8][43] Financial Performance Summary - In 2023, the company achieved revenue of 26.584 billion yuan, a year-on-year increase of 12.37%, but the net profit attributable to shareholders decreased by 49.05% to 2.623 billion yuan [4][9] - The gross profit margin for 2023 was 20.15%, down 14.24 percentage points year-on-year, while the net profit margin was 9.72%, down 12.02 percentage points [4][14] - For Q4 2023, the company reported revenue of 6.697 billion yuan, a year-on-year increase of 24.45%, but a quarter-on-quarter decrease of 15.74% [4][9] - In Q1 2024, the company generated revenue of 5.416 billion yuan, a year-on-year decrease of 5.46% and a quarter-on-quarter decrease of 19.14% [4][30] Production and Sales Data - In 2023, the company produced 1.355 million tons of industrial silicon, a year-on-year increase of 41.07%, with sales volume reaching 1.017 million tons, up 74.22% [5][10] - The production of 110 rubber was 396,100 tons, with sales of 341,500 tons, reflecting increases of 51.53% and 69.65% year-on-year, respectively [5][10] - The company also reported production and sales increases in other product categories, including 107 rubber and mixed rubber [10] Future Outlook - The company forecasts revenues of 35.007 billion yuan, 39.587 billion yuan, and 47.087 billion yuan for 2024, 2025, and 2026, respectively, with corresponding net profits of 3.344 billion yuan, 4.344 billion yuan, and 5.103 billion yuan [9][43] - The projected price-to-earnings ratios for the next three years are 17, 13, and 11 times, indicating a favorable growth outlook [43]