CAPCHEM(300037) 华创证券·2024-08-27 08:45Investment Rating - The report maintains a "Strong Buy" rating for the company, with a target price of 38.87 CNY, compared to the current price of 31.16 CNY [1]. Core Insights - The company reported a revenue of 3.582 billion CNY for H1 2024, a year-on-year increase of 4.35%. However, the net profit attributable to shareholders decreased by 19.54% to 416 million CNY [1]. - In Q2 2024, the company achieved a revenue of 2.067 billion CNY, a quarter-on-quarter increase of 36.41%, and a net profit of 251 million CNY, up 51.97% quarter-on-quarter [1]. - The company is actively expanding its overseas market presence and developing organic fluorine products across multiple sectors, indicating a positive growth trajectory [1]. Financial Performance Summary - For H1 2024, the company’s revenue was 3.582 billion CNY, with a net profit of 416 million CNY, and a non-recurring net profit of 431 million CNY, reflecting a 10.02% year-on-year increase [1]. - The company’s battery chemicals business generated 2.29 billion CNY in revenue, a 4.44% year-on-year increase, despite a decline in product prices [1]. - The report forecasts net profits for 2024-2026 to be 1.064 billion CNY, 1.465 billion CNY, and 1.873 billion CNY, respectively, with corresponding EPS of 1.41 CNY, 1.94 CNY, and 2.48 CNY [2][1]. Market Position and Strategy - The company has successfully established a global production capacity and is focusing on enhancing its market position in the lithium battery electrolyte sector [1]. - A significant supply agreement with European clients is expected to contribute approximately 6.76 billion USD to the company’s revenue from 2024 to 2035 [1]. - The company is also adjusting its organic fluorine product structure to meet the growing demand in various downstream sectors, including pharmaceuticals and new energy [1].