PRCO(002225) 天风证券·2025-04-19 07:47Investment Rating - The report maintains an "Accumulate" rating for the company [8] Core Views - The company is expected to face operational pressure in 2024 due to a decline in the steel industry, but performance is anticipated to gradually improve in 2025 as orders from the U.S. factory accelerate and the company makes progress in the wet metallurgy sector [1][4] - In 2024, the company achieved revenue of 5.192 billion yuan, a year-on-year decrease of 5.13%, and a net profit attributable to shareholders of 135 million yuan, down 45.48% year-on-year [1][6] - The company’s main refractory products saw a decline in revenue and gross margin in 2024, primarily due to cost-cutting measures and production reductions in the steel industry [2] - The company’s comprehensive gross margin for 2024 was 18.99%, a decrease of 0.94 percentage points year-on-year, with an increase in operating cash flow compared to the previous year [3] Financial Performance Summary - Revenue from functional, shaped, unshaped, and other refractory materials in 2024 was 1.36 billion, 1.87 billion, 1.07 billion, and 890 million yuan respectively, with year-on-year changes of +8.5%, -10.4%, -3.4%, and -13% [2] - The company’s net profit for 2025 is projected to be 300 million yuan, with a significant recovery expected in subsequent years [1][6] - The company’s cash flow from operations (CFO) for 2024 was approximately 431 million yuan, an increase of 48 million yuan year-on-year [3][12] Market and Strategic Developments - The company’s overseas revenue remained stable, with significant sales in countries along the "Belt and Road" initiative, totaling 1.063 billion yuan [4] - The company has signed a strategic cooperation framework agreement with a partner to supply efficient precipitation agents for nickel extraction, which is expected to enhance profitability [4] - The company’s raw materials division reported revenue of 817 million yuan in 2024, a year-on-year increase of 40.3%, indicating strong growth in the wet metallurgy market [4]