Luxi Chemical(SZ:000830) Haitong Securities·2024-05-17 01:02Investment Rating - The investment rating for the company is "Outperform the Market" and is maintained [2] Core Views - The company reported a significant decline in net profit for 2023, down 74.05% year-on-year, primarily due to lower product market prices and reduced operating rates [5][7] - Despite the decline, there is optimism regarding growth potential from new projects coming online [5][6] Financial Performance Summary - In 2023, the company achieved operating revenue of 25.358 billion yuan, a decrease of 16.47% year-on-year, with a net profit of 819 million yuan [5][7] - The sales volume for key products such as octanol, nylon 6 chips, and caustic soda saw declines of 5.75%, 5.49%, and 18.18% respectively [5] - The company’s operating profit margin for 2023 was 4.47%, down 8.08 percentage points from the previous year [5] Production and Capacity Outlook - The company aims to produce 9.6 million tons of major products in 2024, with ongoing projects expected to enhance capacity further [6] - The utilization rates for key products in 2023 were 78.95% for caprolactam, 74.67% for nylon 6, and 100.42% for organic silicon [6] Earnings Forecast - The projected earnings per share (EPS) for 2024, 2025, and 2026 are 1.00 yuan, 1.18 yuan, and 1.39 yuan respectively [7][11] - The estimated price-to-earnings (P/E) ratio for 2024 is expected to be between 14-16 times, indicating a reasonable valuation range of 14.00-16.00 yuan [6][11] Comparative Analysis - The company’s financial metrics are compared with peers, showing an average P/E of 19.11 for the industry [10]