DSL(SH:603233) Xin Lang Cai Jing·2025-04-29 02:40Core Insights - The company reported a revenue of 26.497 billion yuan in 2024, an increase of 8.0% year-on-year, but a decline in net profit attributable to shareholders by 21.6% to 915 million yuan [1] - In Q1 2025, the company achieved a revenue of 6.956 billion yuan, a 3.0% increase year-on-year, with a net profit attributable to shareholders of 460 million yuan, up 15.5% [1] Operational Analysis - The company opened 907 self-built stores, acquired 420 stores, and added 1,885 franchise stores in 2024, while closing 733 stores, indicating a strategic optimization of its store network during an industry adjustment period [2] - In Q1 2025, the company net added 69 stores, including 54 new stores, 0 acquisitions, and 189 franchise stores, while closing 174 stores, bringing the total to 16,622 stores [2] - The fastest-growing segment in Q1 2025 was traditional Chinese and Western medicine, generating approximately 5.32 billion yuan in revenue, a year-on-year increase of 5.8% [2] - The company is focusing on expanding its presence in provincial markets, achieving a revenue growth of 10.7% in regions outside its primary market [2] Profit Forecast, Valuation, and Rating - Following the adjustment period in 2024, the company is expected to return to a normal growth trajectory, with projected net profits of 1.1 billion yuan, 1.32 billion yuan, and 1.52 billion yuan for 2025, 2026, and 2027, respectively, reflecting year-on-year growth rates of 20.1%, 19.8%, and 15.3% [3] - The estimated earnings per share (EPS) for 2025, 2026, and 2027 are projected to be 0.96 yuan, 1.16 yuan, and 1.33 yuan, respectively, with corresponding price-to-earnings (PE) ratios of 17, 15, and 13 times [3]