BATIAN(002170) 海通证券·2024-06-25 00:31Investment Rating - The report assigns an "Outperform" rating to the company [1][16]. Core Insights - The company is expected to achieve a net profit growth of 186.14% in 2023, driven by increased production and sales of phosphate rock [33]. - The design capacity of the Xiaogaozai phosphate mine has been increased to 2 million tons, which is anticipated to boost future performance [15]. - The company is expanding its business into high-end chemical materials and new energy materials, including high-purity phosphates and lithium iron phosphate [3]. Financial Performance - In 2023, the company reported total revenue of 3.244 billion yuan, a year-on-year increase of 13.6%, and a net profit of 259 million yuan, up 114.08% [33]. - The projected net profits for 2024, 2025, and 2026 are 450 million yuan, 605 million yuan, and 712 million yuan, respectively, with corresponding EPS of 0.51, 0.68, and 0.80 yuan per share [16][17]. - The gross profit margin is expected to improve from 23.0% in 2023 to 32.7% by 2026 [17][25]. Production and Capacity - The company’s phosphate rock production is projected to increase significantly, with a production capacity utilization rate expected to rise from 56.21% in 2023 to 75% by 2026 [15][34]. - The company has completed the construction of its lithium iron phosphate production line and is progressing as planned [3]. Revenue Breakdown - Revenue from compound fertilizers is projected to be 2.741 billion yuan in 2024, while phosphate rock revenue is expected to reach 656.61 million yuan [8]. - The gross profit margin for compound fertilizers is expected to remain stable at 15.05% over the forecast period [31]. Market Comparison - The report compares the company's valuation with peers, suggesting a reasonable value range of 7.65 to 8.67 yuan per share based on a PE ratio of 15-17 times for 2024 [16][24].