Investment Rating - The report maintains a "Buy" rating for the company [4] Core Views - The company is expected to benefit from the orderly release of new production capacity and the profitability of its new materials segment [1] - The company’s 2024 annual report shows a revenue of 41.86 billion yuan, a year-on-year increase of 5.0%, and a net profit attributable to the parent company of 8.05 billion yuan, a year-on-year increase of 77.8% [7] - The forecast for earnings per share (EPS) for 2025-2027 is adjusted to 2.38, 2.73, and 3.11 yuan respectively, with a target price of 26.18 yuan based on a PE ratio of 11X for comparable companies [2][8] Financial Performance Summary - Revenue (million yuan): - 2023A: 39,874 - 2024A: 41,861 - 2025E: 48,946 - 2026E: 53,990 - 2027E: 58,608 - Year-on-year growth (%): - 2023A: 0.8% - 2024A: 5.0% - 2025E: 16.9% - 2026E: 10.3% - 2027E: 8.6% [3] - Net profit attributable to the parent company (million yuan): - 2023A: 453 - 2024A: 805 - 2025E: 872 - 2026E: 999 - 2027E: 1,136 - Year-on-year growth (%): - 2023A: -6.9% - 2024A: 77.8% - 2025E: 8.2% - 2026E: 14.6% - 2027E: 13.7% [3] Production and Capacity Expansion - The company achieved a cold-rolled stainless steel production volume of 3.3163 million tons in 2024, a year-on-year increase of 16.95%, and total sales of 3.3139 million tons, a year-on-year increase of 17.52% [7] - New production capacity from various projects is expected to continue to be released, contributing to future growth [7] New Materials Segment - The company has been diversifying into new materials since 2021, with projects in titanium alloys and battery casing materials progressing steadily [7] - The titanium alloy project in Henan has commenced production, and the battery casing project in Zhejiang is expected to begin trial production by the end of 2025 [7]