Investment Rating - The report assigns a "Buy" rating with an expectation of outperforming the market by over 10% in total returns over the next 12 months [5][13]. Core Insights - The company reported a revenue of RMB 39.11 billion for 2023, a year-on-year increase of 7.2%, and a net profit attributable to shareholders of RMB 4.09 billion, up 36.4% year-on-year [7][10]. - The fourth quarter saw a slight decline in revenue to RMB 9.42 billion, down 1.6% year-on-year, with net profit at RMB 30 million, impacted by higher expense provisions and decreased investment income [7]. - The four main business segments showed steady growth, with the pharmaceutical segment achieving RMB 6.48 billion in revenue, a growth of 8.2%, and a gross margin of 70.6% [7][10]. - The company is actively exploring and incubating new business divisions, including health supplements, skincare, medical devices, and tea products, aiming to create new revenue growth points through a "comprehensive solution" business model [7][10]. Financial Summary - Revenue projections for 2024-2026 are RMB 43.69 billion, RMB 48.83 billion, and RMB 54.58 billion, respectively, with net profit estimates of RMB 4.43 billion, RMB 4.80 billion, and RMB 5.24 billion [8][10]. - The current stock price corresponds to a 2024 PE ratio of 21 times [8]. - The company’s revenue growth rate is projected at 11.7% for 2024 and remains stable at around 11.8% for 2026 [10]. - The gross margin is expected to stabilize around 26.5% over the forecast period [10]. Shareholder Information - The major shareholders include Yunnan State-owned Assets Management Co., Ltd. (25.02%), Xinhua Duhua Industrial Group Co., Ltd. (24.25%), and Yunnan Hehe Group Co., Ltd. (8.14%) [9].

Investment Rating - The report maintains a "Outperform" rating for the company, expecting total returns to exceed the benchmark index by more than 10% over the next 12 months [10]. Core Insights - The company reported a 21.1% year-on-year increase in revenue from continuing operations, reaching 12.4 billion RMB in 2023, with a net profit of 51 million RMB, marking a turnaround from a net loss of 290 million RMB in 2022 [4][5]. - The company is benefiting from increased order density, optimized business and customer structure, and enhanced operational efficiency through meticulous management [4]. - The company achieved a total order volume growth of over 30% in 2023, enhancing economies of scale [4]. - The company is focusing on digitalization and AI-driven decision-making to improve order matching and reduce delivery costs [5]. Financial Summary - Revenue projections for FY 2024 and FY 2025 are 15.4 billion RMB and 18.3 billion RMB, respectively, with a forecasted net profit of 161 million RMB and 294 million RMB for the same years [2][5]. - The EBITDA for FY 2023 is reported at 177 million RMB, with projections of 190 million RMB and 287 million RMB for FY 2024 and FY 2025, respectively [2][5]. - The company’s net profit margin improved to 0.4% in 2023, up by 3.2 percentage points from the previous year [4]. - The company’s operating cash flow turned positive in 2023, with a net cash inflow of 270 million RMB [5]. Business Structure and Strategy - The company operates as a neutral and open infrastructure platform, providing high-quality, efficient, and all-scenario third-party instant delivery services [4]. - The revenue from same-city delivery services to businesses grew by 12.3% to 5.2 billion RMB, accounting for 42.1% of total revenue [4]. - The company expanded its personal delivery services into business scenarios, achieving a 14.2% increase in revenue to 2.2 billion RMB, representing 17.5% of total revenue [4]. - The last-mile delivery service revenue increased by 35.9% to 5.0 billion RMB, making up 40.4% of total revenue [4].

Investment Rating - The report assigns a rating of "Outperform" for the company, indicating an expected total return performance exceeding the benchmark index by more than 10% over the next 12 months [10]. Core Insights - The company reported a 7.6% year-on-year revenue growth in Q4 2023, reaching 10.6 billion yuan, and an adjusted (Non-GAAP) net profit increase of 4.4% to 2.2 billion yuan, contributing to an annual revenue growth of 8.6% to 38.4 billion yuan and a 32.3% rise in adjusted net profit to 9 billion yuan for the full year 2023 [5][6]. - The company aims to enhance operational efficiency while maintaining service quality, achieving a 32.0% year-on-year increase in package volume in Q4 2023 to 8.7 billion pieces, and a total annual package volume growth of 23.8% to 30.2 billion pieces, with market share rising from 22.1% in 2022 to 22.9% in 2023 [5][6]. - The company anticipates a package volume growth of 15-18% in 2024, aiming to solidify its competitive advantage [5]. Financial Summary - For FY 2023, the company reported revenues of 38.4 billion yuan, with a projected revenue of 41.9 billion yuan for FY 2024, reflecting a growth rate of 9.1% [7]. - The EBITDA for FY 2023 was 13.9 billion yuan, with expectations of 15.4 billion yuan for FY 2024, indicating a growth rate of 11.2% [7]. - The net profit for FY 2023 was 8.7 billion yuan, with a forecasted net profit of 9.5 billion yuan for FY 2024, representing an 8.2% growth rate [7]. - The company plans to increase its dividend payout, announcing a regular cash dividend of at least 40% of the distributable profits starting in 2024, alongside a share buyback program expansion to 2 billion USD [6][7]. Valuation Metrics - The report projects a Non-GAAP net profit growth rate of 5.2% for FY 2024, with an expected PE ratio of 13 times for 2024 [6][7]. - The company’s return on equity (ROAE) is expected to be 15.1% in FY 2024, slightly decreasing from 15.4% in FY 2023 [7][8]. - The net debt to equity ratio is projected to remain at a cash position, indicating a strong balance sheet [8].

Investment Rating - The report assigns an "Outperform" rating for the company, indicating an expected total return performance exceeding the benchmark index by more than 10% over the next 12 months [7]. Core Insights - The company has shown significant growth in revenue and profit margins, with total revenue for 2023 increasing by 21.3% year-on-year to CNY 166.6 billion, and adjusted net profit soaring by 218.8% to CNY 27.6 billion [2][4]. - The company is focusing on optimizing its customer and business structure, with revenue from external customers rising from 64.9% in 2022 to 70.0% in 2023, indicating increased customer stickiness [2]. - The integration of technology and operational efficiency has led to a 42.0% year-on-year increase in revenue from other clients, reaching CNY 85.2 billion in 2023 [1]. Financial Summary - For FY 2023, the company reported total revenue of CNY 166.6 billion, with a gross profit of CNY 12.7 billion and an EBITDA of CNY 14.1 billion [3][4]. - The adjusted net profit for 2023 was CNY 2.76 billion, with a significant increase in the adjusted net profit margin from 0.6% in 2022 to 1.7% in 2023 [2][4]. - The forecast for FY 2024 anticipates revenue growth to CNY 178.9 billion, with an expected adjusted net profit of CNY 3.18 billion [3][4]. Operational Metrics - The company has improved its operational efficiency, with the adjusted net profit margin increasing significantly, and the average revenue per external integrated supply chain customer rising by 15.2% to CNY 420,000 [2]. - The company’s cash flow from operating activities for 2023 was CNY 16.4 billion, reflecting strong operational performance [6]. Market Position - The company is leveraging its technological advancements and network integration with partners like De Bang Logistics to enhance service quality and customer satisfaction [1]. - The report highlights the company's strategic focus on cost reduction and efficiency improvements, which are expected to drive future profitability [2].