Investment Rating - The investment rating for the company is "Buy-B" (maintained) [1] Core Views - The company is expected to achieve double-digit growth in e-commerce channels in 2024, with a significant improvement in gross margin in Q1 2025 [1] - Despite a decline in revenue and net profit in 2024, the company is projected to benefit from improved gross margins in Q1 2025, leading to a smaller decline in performance compared to revenue [10] Financial Performance Summary - In 2024, the company reported revenue of 13.891 billion yuan, a year-on-year decrease of 14.73%, and a net profit of 1.010 billion yuan, down 23.25% [2][4] - For Q1 2025, revenue was 2.673 billion yuan, a decline of 47.28%, with a net profit of 252 million yuan, down 26.12% [2][4] - The gross margin for 2024 improved by 2.7 percentage points to 20.80%, and for Q1 2025, it increased by 10.64 percentage points to 26.21% [6] Channel Performance Summary - In 2024, the online channel revenue grew by 11.42% to 2.795 billion yuan, while the franchise channel revenue fell by 23.26% to 9.187 billion yuan [5] - The self-operated offline channel achieved revenue of 1.744 billion yuan, a growth of 7.8% [5] Future Earnings Projections - The projected EPS for 2025-2027 is 1.02, 1.11, and 1.22 yuan respectively, with corresponding P/E ratios of 13.2, 12.1, and 11.0 times [10][12]

Group 1 - The gold sector experienced a collective rebound, particularly in the jewelry segment, with Mankalon rising over 10% [1] - Prior to this, Chao Hong Ji hit the daily limit, indicating strong market interest [1] - Other companies such as Lai Shen Tong Ling, Western Gold, Cuihua Jewelry, and Zhou Dazheng also saw significant gains [1] Group 2 - The overnight international gold price showed a notable rebound, with COMEX gold futures increasing by 1.74% to $3243.90 per ounce [1]

Group 1: Gold Price Trends - Recent international gold prices have declined, with COMEX gold futures dropping from $3329.10 per ounce on May 9 to $3180.70 on May 14, a decrease of approximately 4.46% [2] - The decline in gold prices is attributed to reduced market risk aversion following unexpected progress in US-China trade negotiations, which has led to a potential drop in COMEX gold prices below $3000 per ounce [2][3] - Short-term outlook suggests a fluctuating trend for gold prices, while long-term support factors remain intact, including increased inflation risks in the US and strong central bank demand [3] Group 2: Consumer Behavior and Market Dynamics - Consumer interest in gold jewelry remains strong, with many brands offering significant discounts; for instance, some gold jewelry prices have been reduced to below 1000 yuan per gram [1] - The market for traditional gold jewelry is expanding, with the ancient method gold jewelry market in China growing from 13 billion yuan in 2018 to 157.3 billion yuan in 2023, reflecting a compound annual growth rate of 64.6% [4] - Companies are adapting to changing consumer preferences by enhancing product offerings, such as introducing unique designs and high-quality craftsmanship to attract customers [5][6] Group 3: Strategic Initiatives by Companies - Companies like Chow Tai Fook and others are focusing on high-end product strategies, optimizing product structures, and enhancing craftsmanship to stimulate demand in the premium gold jewelry market [6][7] - The introduction of culturally inspired product lines, such as the "Dunhuang" series by Luk Fook Jewelry, indicates a trend towards integrating cultural elements into product offerings [4] - Brands are increasingly targeting specific consumer segments with personalized and high-quality service, indicating a shift towards niche marketing strategies in the gold jewelry sector [7]

Group 1 - The domestic gold jewelry prices continue to decline, with most brands reporting a price of 976 CNY per gram [1][5] - Several brands have adjusted their prices, with Zhou Shengsheng's gold jewelry dropping by 17 CNY to 975 CNY per gram, and Caibai's gold jewelry priced at 965 CNY per gram [1][5] - The price decrease reflects a broader trend in the gold market, indicating potential shifts in consumer demand and market dynamics [1]

Investment Rating - The report maintains a "Buy" rating for the gold and jewelry industry, indicating a positive outlook for the sector [3]. Core Insights - The industry is currently under pressure due to high gold prices, which have negatively impacted the demand for gold jewelry while stimulating investment demand [5][11]. - Despite the challenging environment, there are structural opportunities as consumer demand becomes more segmented, leading brands to develop diverse product offerings to meet varying consumer preferences [11][65]. Summary by Sections Industry Overview - The gold price has seen significant increases, with a year-on-year rise of 4% to 9% from Q1 2024 to Q1 2025, while gold jewelry consumption has decreased by 15% to 27% during the same period [5][8]. - Investment products like gold bars and coins have experienced growth, with increases of 17% and 30% respectively [5]. Market Trends - The demand for gold jewelry is becoming increasingly segmented, with consumers placing higher value on emotional significance, aesthetics, and quality [11]. - Brands are responding by creating brand matrices and high-quality product lines to cater to diverse consumer needs across different price points [11]. Company Performance - Major brands like Chow Tai Fook and Lao Feng Xiang have seen varying performance, with some brands experiencing significant declines in sales while others, like Chao Hong Ji, have benefited from a focus on trendy, affordable products [34][65]. - The average revenue growth for leading companies remains under pressure, with some brands reporting declines of up to 55% in revenue [34][65]. Profitability Analysis - The average gross margin for the industry has decreased by 13% year-on-year, although some companies like Chao Hong Ji and Man Da Long have reported growth in gross profit due to their focus on high-margin products [34][41]. - The report highlights that self-operated channels and high-margin categories have contributed significantly to gross profit growth amidst market fluctuations [41]. Future Outlook - The report suggests that if gold prices stabilize, there could be a recovery in gold jewelry demand, leading to improved revenue for jewelry companies [65]. - The ongoing trend of demand segmentation is expected to continue, with brands focusing on differentiated and refined development strategies to meet diverse consumer preferences [65].

Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 16.32 CNY based on a 17x PE valuation for 2025 [4][9]. Core Views - The company experienced a significant revenue decline in 2024, with a 14.7% decrease to 13.89 billion CNY, primarily due to high gold prices suppressing demand [8]. - Despite the challenges, the company plans to focus on brand matrix, e-commerce breakthroughs, innovative franchise models, and cross-border brand expansion as key growth drivers for 2025 [8]. - The company is committed to a high dividend policy, with an expected payout ratio of 102.1% for 2024 [8]. Financial Summary - Revenue and Profit Forecasts: - 2025-2027 EPS estimates are 0.96, 1.14, and 1.30 CNY respectively [4][9]. - Revenue projections for 2025, 2026, and 2027 are 14.05 billion, 15.06 billion, and 16.52 billion CNY, reflecting growth rates of 1.2%, 7.1%, and 9.7% respectively [4][8]. - Profitability Metrics: - The company's gross margin is expected to improve to 21.8% in 2025, with net margin projected at 7.5% [4][8]. - The net profit attributable to the parent company is forecasted to be 1.05 billion CNY in 2025, with a growth of 3.8% [4][8]. - Valuation Ratios: - The company’s PE ratio is projected to be 14.1 in 2025, decreasing to 10.4 by 2027 [4][8].

Group 1: Investor Relations Activity - The investor relations activity was conducted via a telephone conference on May 14, 2025 [2] - Two investors participated: Bao Han from GF Securities and Wang Xiaoying, Wang Xuran, and Zhang Yingjun from Baodao Fund [2] Group 2: Main Discussion Topics - Investors inquired about key financial indicators from the 2024 annual report and the Q1 2025 report [2] - Topics included product structure, brand matrix, channel expansion, and fluctuations in gold prices [2] Group 3: Compliance and Disclosure - The company adhered to the "Information Disclosure Management System" to ensure the accuracy, completeness, and timeliness of information disclosed [2] - No significant undisclosed information leakage occurred during the meeting [2]

Group 1 - The company, Zhou Dasheng, announced the addition of 11 new stores in April 2025, located in cities such as Changsha, Tianjin, Leshan, Beijing, Chongqing, Taiyuan, Mianyang, and Shenzhen [1] - The main product categories for the new stores will include plain gold and inlaid jewelry [1]

关于公司 2025 年 4 月份新增自营门店情况简报 本公司及董事会全体成员保证信息披露内容的真实、准确和完整，没有虚假 记载、误导性陈述或重大遗漏。 根据《深圳证券交易所上市公司自律监管指引第 3 号——行业信息披露 （2025 年修订）》第四章第八节珠宝相关业务的要求，周大生珠宝股份有限公 司现将 2025 年 4 月份公司新增自营门店概况披露如下： | 序 | 门店名称 | 所在 | 开设时间 | 经营 | 面积 | 总投资金 | 主要商品 | | --- | --- | --- | --- | --- | --- | --- | --- | | 号 | | 地区 | | 形式 | (m2 ) | 额（万元） | 类别 | | 1 | 周大生长沙环宇城购物中心 | 华中 | 2025.4.1 | 专卖 | 144 | 535 | 素金、镶嵌 | | | 专卖店 | | | 店 | | | | | 2 | 转珠阁天津环宇城专卖店 | 华北 | 2025.4.1 | 专卖 | 30.6 | 80 | 素金、镶嵌 | | | | | | 店 | | | | | 3 | 转珠阁天津水游城专卖店 | 华北 | 2 ...

Group 1 - The domestic gold jewelry prices remain unchanged compared to the previous day, reported at 992 CNY per gram [1] - Various gold jewelry brands in the domestic market have set their prices consistently, with notable brands like Zhou Dasheng and Jinzun also pricing their gold jewelry at 992 CNY per gram [2]