NANSHAN FASHION(300918) 中信建投·2025-03-27 09:44Investment Rating - The report maintains a "Buy" rating for the company [4]. Core Views - In 2024, the company is projected to achieve revenue of 1.616 billion yuan, a year-on-year increase of 0.98%, and a net profit attributable to shareholders of 191 million yuan, a decrease of 5.82% year-on-year [2][3]. - The decline in profit is attributed to weak performance from downstream apparel brands affecting the fine woolen fabric business and increased interest expenses due to convertible bond issuance [3][4]. - The company has successfully initiated trial production of an 80,000-ton high-performance differentiated nylon filament project, marking the beginning of a second growth curve [4][9]. - The demand for tendon materials made from ultra-high molecular weight polyethylene fibers is expected to grow rapidly with the increase in humanoid robots [10]. Summary by Sections Financial Performance - In 2024, the fine woolen fabric business generated revenue of 810 million yuan, down 9.54% year-on-year, while the apparel segment achieved revenue of 611 million yuan, up 4.45% year-on-year [3]. - The ultra-high fiber segment saw revenue of 176 million yuan, a significant increase of 94.75% year-on-year, with a sales volume of 3,303.61 tons, up 119.69% [3][10]. Business Development - The company has a production capacity of 44,000 tons of PA6 filament, with equipment sourced from Japan and Germany, primarily used in various apparel applications [4][9]. - The high-strength polyethylene (PE) segment currently has a capacity of 3,600 tons, producing various specifications suitable for multiple applications, including defense and robotics [10]. Future Outlook - The company forecasts net profits of 266 million yuan, 328 million yuan, and 384 million yuan for 2025, 2026, and 2027, respectively, with corresponding EPS of 0.61 yuan, 0.76 yuan, and 0.88 yuan [11][13]. - The projected P/E ratios for the same years are 32.8X, 26.6X, and 22.7X, indicating a positive outlook for the company's valuation [11].