Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected relative return of over 20% within the next six months [5][23]. Core Views - The company experienced a significant decline in performance, with a 14.43% decrease in revenue and a 68.99% drop in net profit for the year, leading to a proposed cash dividend of 0.80 CNY per 10 shares, resulting in a high payout ratio of 111.8% [1][4]. - The company is focusing on dual business operations, optimizing costs, and expanding overseas, which has shown resilience despite a 21.80% decline in revenue from its comprehensive technical services segment [2][4]. - The company is actively pursuing growth in the new materials sector and has achieved profitability in its overseas production bases, aligning with the "Belt and Road" initiative [2][4]. Financial Performance Summary - In 2024, the company reported total revenue of 261.7 million CNY, with a projected revenue growth of 5.29% in 2025 [4][17]. - The overall gross margin for 2024 was 22.16%, reflecting a decrease of 2.69 percentage points year-on-year, while the fourth quarter showed a slight recovery in gross margin [3][4]. - The company’s net profit for 2024 is projected to be 49.26 million CNY, with significant growth expected in subsequent years [4][17]. Business Segments Overview - The comprehensive technical services business generated 329 million CNY in revenue, down 21.80% year-on-year, but managed to maintain a gross margin of 38.60% due to effective cost control [2][4]. - The new materials segment reported a revenue of 1.955 billion CNY, with a slight decline in sales volume but a notable market share in various regions [2][4]. Future Outlook - The company is expected to see a gradual recovery in net profit, with projections of 170.16 million CNY in 2025 and 218.74 million CNY in 2026 [4][17]. - The strategic focus on dual business operations in the fields of additives and testing services is anticipated to drive future growth, particularly in emerging sectors like renewable energy and AI smart buildings [4][17].