产品快速降价盈利承压，成本优势保障份额提升

Investment Rating - The report maintains a "Buy" rating for the company [1]. Core Insights - The company is facing pressure on profitability due to rapid price declines in its products, but it maintains a cost advantage that supports its performance [2][3]. - The integrated layout of the company strengthens its cost and technological advantages, highlighting its leadership position despite profitability pressures [3]. - The company is actively advancing the research and development of tungsten wire, which is expected to enhance its competitive position and market share [4]. Financial Performance Summary - In 2023, the company achieved a revenue of 45.12 billion RMB, a year-on-year increase of 23.34%, and a net profit of 1.589 billion RMB, up 7.9% year-on-year [18]. - The company’s revenue is projected to decline to 36.60 billion RMB in 2024, followed by a recovery to 44.49 billion RMB in 2025 and 57.02 billion RMB in 2026, with respective growth rates of -18.87%, 21.55%, and 28.14% [6]. - The net profit forecast for 2024 is adjusted to 768 million RMB, reflecting a significant decrease of 66% compared to previous estimates, with projections of 869 million RMB for 2025 and 1.03 billion RMB for 2026 [4][6]. Market Position and Strategy - The company has seen a continuous increase in the shipment of its diamond wire products, with a total sales volume of 12,866 million kilometers in 2023, representing a year-on-year growth of 33.81% [18]. - The company is focusing on an integrated supply chain strategy, which includes key raw materials such as yellow wire, mother wire, tungsten wire, and diamond powder, to achieve cost reduction and efficiency [19]. - Despite the rapid price decline of diamond wire products leading to pressure on profitability, the company is adjusting its sales strategy to maintain product quality and cost advantages [19].