DMEGC(002056) 光大证券·2024-03-11 16:00Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company reported a revenue of 19.721 billion yuan in 2023, a year-on-year increase of 1.39%, and a net profit attributable to shareholders of 1.816 billion yuan, up 8.80% year-on-year [1] - The company expects a 50% year-on-year increase in photovoltaic product shipments in 2024, supported by ongoing capacity expansion in TOPCon products [1] - The lithium battery segment aims for a 50% year-on-year growth in shipments, while the magnetic materials business is actively pursuing international expansion [1] Summary by Sections Financial Performance - In Q4 2023, the company achieved a revenue of 3.964 billion yuan, a decrease of 25.58% year-on-year, and a net profit of 166 million yuan, down 63.97% year-on-year [1] - The photovoltaic segment shipped 9.95 GW in 2023, a growth of 24.27%, with a gross margin increase of 6.35 percentage points to 21.21% [1] - The magnetic materials segment saw a shipment increase of 7.87% to 198,500 tons, with a gross margin rise of 2.79 percentage points to 26.49% [1] - The lithium battery segment's shipments increased by 75.36% to 340 million units, although gross margin decreased by 13.44 percentage points to 6.93% due to raw material price declines and intensified competition [1] Future Outlook - The company plans to expand its TOPCon battery capacity by 6 GW and component capacity by 5 GW in 2024, with additional projects in Southeast Asia [1] - The company aims to maintain its market share in the high-margin European market through differentiated strategies [1] - The report projects net profits for 2024, 2025, and 2026 to be 1.851 billion yuan, 2.071 billion yuan, and 2.291 billion yuan respectively, reflecting a downward adjustment of 30% and 37% for 2024 and 2025 [1][2]