Investment Rating - The report maintains a "Buy" rating for the company with a target price of 89.04 RMB [8][9]. Core Views - The company's revenue for 2024 is projected to be 9.83 billion RMB, a year-on-year increase of 21.53%, while the net profit attributable to the parent company is expected to be 0.93 billion RMB, a slight increase of 1.31% year-on-year [1][5]. - The company is facing pressure on net profit margins due to challenges in the photovoltaic industry and delays in order acceptance, but there is optimism regarding the growth potential of its non-photovoltaic business [1][4]. - The company has seen a significant decline in operating cash flow, with a net cash flow from operating activities of 0.06 billion RMB in 2024, down 92.57% year-on-year, primarily due to increased bank acceptance bill payments and slow customer payments [3]. Summary by Sections Financial Performance - In Q1 2025, the company reported revenue of 2.23 billion RMB, a year-on-year increase of 0.47% and a quarter-on-quarter increase of 8.01%. However, the net profit attributable to the parent company was 0.16 billion RMB, a decrease of 37.69% year-on-year and 3.18% quarter-on-quarter, mainly due to significant credit impairment losses [1][2]. - The gross margin for 2024 was 28.11%, down 2.40 percentage points year-on-year, while the net margin was 9.80%, down 1.01 percentage points year-on-year. In Q1 2025, the gross margin improved to 29.10%, although the net margin decreased to 6.98% [2]. Market Outlook - The report highlights the potential for the company's HJT equipment in overseas markets, noting that HJT technology has lower labor and operational costs and higher photoelectric conversion efficiency. The company is expected to benefit from expanding its presence in these markets [4]. - In the semiconductor and display sectors, the company achieved revenue of 0.67 billion RMB in 2024, representing a year-on-year increase of 88.41%, indicating strong growth potential in these areas [4]. Profit Forecast and Valuation - The forecast for net profit attributable to the parent company has been revised downwards for 2025 and 2026 by 21% each, now expected to be 1.19 billion RMB and 1.31 billion RMB, respectively. The estimated EPS for 2025 is 4.24 RMB [5][7]. - The company is valued at a PE ratio of 21 times for 2025, with a target price set at 89.04 RMB, reflecting a significant adjustment from the previous target price of 150.36 RMB [5].