Investment Rating - The investment rating for the company is "Buy" for both A-shares and H-shares, maintained from previous assessments [8]. Core Views - The company's revenue and net profit for 2024 are reported at 34.22 billion and 2.42 billion RMB, respectively, showing a year-on-year change of +1.4% and -12.5%. The Q4 results indicate a revenue of 9.50 billion RMB and a net profit of 1.28 billion RMB, with a notable increase in net profit by 43.9% year-on-year due to improved gross margins and asset disposal gains of 730 million RMB [1][2]. - The rebound in cement prices is expected to catalyze further recovery in profitability in Q1 2025, supported by international expansion and energy-saving initiatives driving long-term growth [1][4]. Revenue and Profitability - In 2024, the company sold 5.7 million tons of cement, 14.3 million tons of aggregates, and 3.2 million cubic meters of concrete, with year-on-year changes of -2.0%, +9.0%, and +16.7%, respectively. Revenue from these segments was 18.03 billion, 5.64 billion, and 8.42 billion RMB, showing changes of -1.6%, +5.2%, and +10.0% [2]. - The overall gross margin for 2024 was 24.7%, down 2.0 percentage points year-on-year, while Q4 gross margin was 26.4%, reflecting a slight improvement [2]. Cost Management and Cash Flow - The company's expense ratio for 2024 was 12.6%, a decrease of 0.3 percentage points year-on-year. The operating cash flow for 2024 was 5.98 billion RMB, down 4.1% year-on-year, but is expected to remain stable as cement business profitability improves [3]. International Expansion and Sustainability - The company's overseas revenue reached 8.04 billion RMB in 2024, a 46.5% increase year-on-year, with international business accounting for 23.5% of total revenue. The company has over 25 million tons of cement production capacity overseas [4]. - The company is committed to green and low-carbon development, achieving a reduction in domestic clinker energy consumption by 0.67 kgce/t in 2024 [4]. Earnings Forecast and Valuation - The earnings per share (EPS) estimates for 2025, 2026, and 2027 are projected at 1.19, 1.47, and 1.55 RMB, respectively. The target price for A-shares is raised to 15.83 RMB, based on a price-to-earnings (PE) ratio of 13.3x for 2025 [5]. - The target price for H-shares is adjusted to 11.74 HKD, reflecting a PE ratio of 9.2x for 2025, with a discount rate consistent with historical averages [5].

Investment Rating - The investment rating for the construction materials industry is "Positive" (maintained) [1] Core Viewpoints - The recent National People's Congress emphasized policies to stabilize the real estate market, which is expected to boost confidence in the construction materials sector. Key measures include reducing restrictive policies, promoting the renovation of urban villages and old houses, and expanding the use of existing land and commercial properties [3][4] - The construction materials index increased by 1.18% in the week from March 10 to March 14, 2025, but underperformed the CSI 300 index, which rose by 1.59% [11][19] - Over the past three months, the CSI 300 index has increased by 1.87%, while the construction materials index has decreased by 4.91%, indicating a 6.78% underperformance [11][14] Summary by Sections Market Overview - The construction materials index rose by 1.18% this week, lagging behind the CSI 300 index by 0.40 percentage points [11] - The average PE ratio for the construction materials sector is 27.32 times, and the PB ratio is 1.15 times, ranking it among the lowest in the A-share market [21][25] Cement Sector - As of March 15, 2025, the average price of P.O42.5 bulk cement was 354.52 RMB/ton, reflecting a 1.33% increase from the previous period. The clinker inventory ratio decreased by 2.21 percentage points to 42.45% [25][27] - Regional price variations were noted, with the highest increase in North China at 7.94% and a decrease in East China by 0.79% [25][30] Glass Sector - The price of float glass decreased to 1324.00 RMB/ton, down by 2.14%, while the futures price also fell by 3.27% to 1154 RMB/ton [67][68] - The national inventory of float glass increased by 1.49%, reaching 62.6 million weight boxes [69][70] Fiberglass Sector - The market for non-alkali fiberglass continues to show stable pricing, with electronic fiberglass prices remaining steady after recent increases [19][67] Consumer Building Materials - The prices of key raw materials in the consumer building materials sector have shown slight fluctuations, with acrylic prices rising by 5.26% this week [4][5]

Group 1 - The core viewpoint of the article emphasizes the investment value of Yunlu Co., Ltd. (688190.SH) as a dual beneficiary of energy-saving transformers and high-efficiency motors under the backdrop of "energy conservation and carbon reduction" [2][3] - The demand for amorphous strip materials is steadily growing, driven by high-efficiency transformers, with significant potential in the motor sector [3] - Yunlu Co., Ltd. is identified as a leading enterprise in amorphous strip materials, expanding production capacity while continuously engaging in related technological research and development, which is expected to sustain profit growth [3]