南山智尚：毛纺传统业务稳步复苏，着力打造化纤材料平台型企业

Investment Rating - The report assigns a "Buy-B" rating to the company, indicating a positive outlook for investment based on its growth potential and market positioning [65]. Core Insights - The company is positioned as a leading player in the fine woolen fabric sector and is actively expanding into the textile fiber new materials field. It has shown steady growth in its fine woolen fabric product sales over the past three years, maintaining industry-leading profitability [8][13]. - The company’s revenue from its clothing business is expected to grow significantly, with a projected 20% year-on-year increase in Q1 2024. The company has a diverse portfolio of brands catering to various market segments, including high-quality custom suits and uniforms [22][36]. - The report highlights the company's strategic partnerships and collaborations, such as the agreement with Oerlikon Barmag for PA6 and PA6.6 solutions, which are expected to enhance its product offerings and market reach [6][81]. Financial Performance Summary - The company’s earnings per share (EPS) is projected to increase from 0.52 in 2022 to 0.91 in 2026, reflecting a positive growth trajectory [1]. - The return on equity (ROE) is expected to stabilize at 11.5% from 2024 onwards, indicating efficient use of equity capital [1]. - The price-to-earnings (P/E) ratio is forecasted to decrease from 17.9 in 2022 to 10.3 in 2026, suggesting an attractive valuation relative to earnings growth [1]. - The net profit margin is anticipated to improve from 11.4% in 2022 to 15.0% in 2026, driven by operational efficiencies and higher-value product offerings [1]. Industry Overview - The report notes that the professional clothing market in China is experiencing steady growth, with a low level of industry concentration. The market is expected to benefit from increasing demand for customized solutions and improved procurement practices among government and large enterprises [18][36]. - The demand for high-performance differentiated nylon filament is projected to grow, with the company advancing its production capabilities to meet this demand [60][56]. - The outdoor sports apparel market in China is expected to exceed 45 billion yuan in 2023, driven by a resurgence in consumer interest post-pandemic [56].