Kings(603505) KAIYUAN SECURITIES·2024-10-29 06:01Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has achieved record high revenue and net profit for the first three quarters of 2024, with revenue reaching 1.83 billion yuan, a year-on-year increase of 58.5%, and net profit attributable to shareholders of 250 million yuan, a year-on-year increase of 1.7% [2][3] - The company expects a significant increase in fluorite prices in Q4, which is anticipated to enhance profitability [3] - A mid-term dividend of 1.00 yuan per 10 shares is planned, representing 23.96% of the net profit attributable to shareholders for the first three quarters of 2024 [3] Financial Performance Summary - For Q3 2024, the company reported revenue of 711 million yuan, a year-on-year increase of 19.39%, but a net profit decline of 30.88% [2] - The company’s revenue and profit forecasts for 2024-2026 are 470 million yuan, 742 million yuan, and 913 million yuan for net profit, with corresponding EPS of 0.78 yuan, 1.22 yuan, and 1.51 yuan [2][5] - The current stock price corresponds to a PE ratio of 33.8, 21.6, and 17.4 for the years 2024, 2025, and 2026 respectively [2][5] Project Progress and Market Outlook - The company has successfully produced and sold approximately 280,000 tons of fluorite from its single fluorite mine and 400,000 tons from the Baotou project [3] - Q4 production plans include 120,000 tons of fluorite and 50,000 tons of anhydrous hydrofluoric acid, with expectations for a significant price increase for acid-grade fluorite [3] - The company is also progressing with its projects in Mongolia while managing mining operations [3]