Core Viewpoint - The company anticipates a significant decline in revenue and net profit for the first half of 2025, primarily due to reduced orders in its equipment business while its materials segment shows growth driven by new product introductions and increased demand for OLED materials [4][5]. Group 1: Financial Performance - For the first half of 2025, the company expects revenue between 270-290 million yuan, representing a year-on-year decrease of 15.23%-21.07% [4]. - The projected net profit attributable to shareholders is estimated to be between 25-29 million yuan, reflecting a decline of 68.41%-72.77% year-on-year [4]. - The expected net profit after deducting non-recurring items is forecasted to be between 4-4.8 million yuan, indicating a significant drop of 92.46%-93.71% compared to the previous year [4]. Group 2: Business Segments - The materials segment is projected to achieve revenue of 250-260 million yuan, showing a year-on-year growth of 18.7%-23.4%, driven by the continued ramp-up of OLED finished materials and the introduction of new products like PSPI [5]. - In contrast, the equipment segment is expected to generate revenue of 23-24 million yuan, which represents a substantial decline of 81.7%-82.5% year-on-year due to reduced orders for 6th generation OLED evaporation source equipment as the construction of related production lines nears completion [5]. Group 3: Strategic Developments - The company has commenced construction of a new base in Changchun, focusing on the R&D and industrialization of key functional materials for OLED displays, with an expected annual production capacity of 2,000 tons and an annual output value of 1 billion yuan upon completion [6]. - The project will be built in phases, with the first phase expected to be ready for trial production by June 2027 [6]. - Additionally, the company plans to raise up to 299.86 million yuan through a private placement to fund the construction of the PSPI materials production base and to supplement working capital [6].

Investment Rating - The report maintains a "Buy" rating for the company [6]. Core Views - The company's material revenue is steadily growing, while equipment orders are experiencing a temporary decline. The company plans to increase PSPI production capacity through a private placement [1][4]. Summary by Sections Revenue and Profit Forecast - For the first half of 2025, the company expects revenue between 270-290 million yuan, a year-on-year decrease of 15.23%-21.07%. The expected net profit attributable to shareholders is between 25-29 million yuan, down 68.41%-72.77% year-on-year. The non-recurring net profit is projected to be between 4-4.8 million yuan, a decrease of 92.46%-93.71% [1][4]. Business Segments - The materials segment is expected to achieve revenue of 250-260 million yuan in the first half of 2025, representing a year-on-year growth of 18.7%-23.4%. This growth is attributed to the continued ramp-up of OLED finished materials and the introduction of new products like PSPI [2]. - The equipment segment is projected to generate revenue of 23-24 million yuan, reflecting a significant decline of 81.7%-82.5% year-on-year due to reduced orders for 6th generation OLED evaporation source equipment as the construction of 6th generation production lines nears completion [2]. New Projects and Capital Increase - The company has commenced construction of a new base in Changchun for key functional materials used in OLED displays, covering an area of 136,000 square meters. The project aims to achieve an annual production capacity of 2,000 tons and an annual output value of 1 billion yuan upon completion [3]. - The company plans to raise up to 299.86 million yuan through a private placement to fund the construction of the PSPI materials production base and to supplement working capital [3]. Profitability and Valuation - The report revises the profit forecast for 2025-2026 downwards and introduces a forecast for 2027. The expected net profits for 2025, 2026, and 2027 are 127 million yuan, 244 million yuan, and 354 million yuan, respectively [4][5]. - The company has successfully secured a contract for the 8.6 generation OLED production line linear evaporation source, which is expected to positively impact the performance in 2025-2026 [4]. Financial Metrics - The company’s projected revenue growth rates for 2025, 2026, and 2027 are 31.30%, 56.49%, and 35.88%, respectively. The expected net profit growth rates for the same years are 40.85%, 91.30%, and 45.29% [5][10].