23 the net profit of homing in the first three quarters was-34% compared with the same period last year, maintaining the "overweight" rating.
Feikai material released its three-quarter report on October 24, with revenue of 2.03 billion yuan (yoy-10%) and net profit of 210 million yuan (yoy-34%) in the first three quarters of 2023. Among them, Q3 realized revenue of 709 million yuan (yoy+19%,qoq-1%) and net profit of 36 million yuan (yoy-47%,qoq-65%). We estimate that the return net profit of the company from 2023 to 2025 is 564 million yuan, respectively, and the corresponding EPS is 0.64 million yuan and 0.89 million yuan, respectively. Comparable company's 24-year Wind unanimously expects the average PE to be 16 times, taking into account the company's semiconductor material field layout, giving the company 18 times PE in 24 years, with a target price of 16.02 yuan, maintaining the "overweight" rating.
Downstream demand has weakened, Q3 comprehensive gross profit margin compared with the improvement of 23Q3, terminal LCD industry demand has weakened, we expect to have an impact on the company's screen display material plate profits; semiconductor materials plate, according to SIA, global 23Q3 semiconductor sales rebounded month-on-month, we expect the company to make a profit or gradually pick up; pharmaceutical intermediates business, some products 23Q3 demand may be weak. 23Q3's comprehensive gross profit margin ranges from + 0.6/+5.2pct to 37.4%; sales / management / R & D / financial expense rates yoy+2.6/+2.1/+0.7/+0.5pct to 7.8 and 10.1 to 7.3 and 1.9 per cent respectively.
The company's new projects are carried out in an orderly manner, and the performance is expected to continue to grow.
In the first three quarters of 23, the company's cumulative R & D expenditure reached 141 million yuan. According to the mid-23 report, the company's cholesteric electronic paper liquid crystal and PILess liquid crystal have achieved client verification, and I-line photoresist and 248nm photoresist antireflective materials have been mass produced by some customers. The company actively promotes the changed fund-raising projects "annual output of 50 tons of high-performance mixed liquid crystal and 200 tons of high-purity electronic display monomer material project" and "acrylate and photoresist product upgrading and construction project". At the same time, 5000t/aTFT-LCD photoresist project and 5500t/a synthetic new materials project have been steadily supplied to customers, the production capacity of 100t/a high-performance optoelectronic new materials purification project is steadily increasing, and the testing capacity and production line construction of OLED materials are also advancing in an orderly manner. With the increasing improvement of the company's product structure, the future performance is expected to continue to grow.
Risk hints: raw material prices fluctuate sharply; new projects fail to reach production expectations; downstream demand falls short of expectations.