Investment Rating - The investment rating for the company is "Buy" and is maintained [5]. Core Views - The company achieved a revenue of 1.081 billion in 2024, representing a year-on-year growth of 14.09%, with a net profit attributable to shareholders of 66 million, a slight increase of 0.23% [2][4]. - In Q1 2025, the company reported a revenue of 276 million, a year-on-year increase of 3.4%, and a net profit of 41 million, showing a significant growth of 63.4% [2][4]. - The company is expected to benefit from the rapid expansion of its borosilicate glass products and a recovery in daily-use glass, with projected net profits of 160 million and 220 million for 2025 and 2026, respectively, corresponding to PE ratios of 26 and 19 [7]. Financial Performance - In 2024, the company’s revenue was 1.081 billion, with a gross profit of 205 million, resulting in a gross margin of 19%, an increase of 1.6 percentage points year-on-year [7]. - The revenue from pharmaceutical glass reached 470 million, growing by 15.02%, while the revenue from heat-resistant glass was 588 million, up by 13.39% [7]. - The gross margin for Q1 2025 improved significantly to 26.5%, a year-on-year increase of 5.7 percentage points, marking the best Q1 performance since 2021 [7]. Market Outlook - The company is positioned to expand its market share in the borosilicate glass sector, particularly in the injection bottle segment, which is expected to see increased production volume [7]. - The pharmaceutical glass market in China is projected to grow from 350 billion in 2023 to 442 billion by 2026, with a CAGR of 8.51% from 2023 to 2026 [7]. - The company’s strategic focus on both horizontal and vertical expansion in product offerings is anticipated to enhance its competitive edge in the market [7].