HBYH(000422) 太平洋·2025-04-14 01:23Investment Rating - The report maintains a "Buy" rating for Hubei Yihua (000422) [1] Core Views - The company reported a year-on-year increase in net profit by 44.32% to 653 million yuan, despite a slight decline in revenue by 0.48% to 16.964 billion yuan in 2024 [3][4] - The company is focusing on asset integration and expanding its chemical industry supply chain, which is expected to enhance profitability [4][5] - Future profit projections for 2025, 2026, and 2027 are 953 million yuan, 1.139 billion yuan, and 1.304 billion yuan respectively, with corresponding PE ratios of 14, 11, and 10 times [5][6] Financial Performance - In 2024, the company achieved revenue of 16.964 billion yuan, with a gross margin of 13.74% and a net margin of 5.27%, reflecting improvements in profitability metrics [3][6] - The company plans to distribute a cash dividend of 2 yuan per share, totaling 217 million yuan, which is 33.18% of its net profit [3][5] - The company’s existing production capacities include 1.56 million tons/year of urea, 1.26 million tons/year of diammonium phosphate, and 840,000 tons/year of PVC [3][4] Future Outlook - The company is set to acquire 100% of Yichang Xinfatou, increasing its stake in Xinjiang Yihua from 35.597% to 75%, which will enhance its operational scale and cost advantages [4][5] - The projected revenue growth rates for the next three years are 6.36% in 2025, 2.77% in 2026, and 4.28% in 2027 [6][7] - The company emphasizes shareholder returns, committing to a minimum annual cash dividend of 30% of net profit over the next three years [5][6]