NHD(SZ:002946) Xin Lang Cai Jing·2025-04-29 02:48Core Viewpoint - The company reported a slight decline in revenue for 2024 but achieved significant growth in net profit, indicating strong operational performance despite challenging market conditions [1][2]. Financial Performance - In 2024, the company achieved operating revenue of 10.665 billion, a year-on-year decrease of 2.93%, while net profit attributable to shareholders was 538 million, an increase of 24.80% [1]. - The fourth quarter of 2024 saw operating revenue of 2.516 billion, down 9.94%, but net profit rose by 28.08% to 64 million [1]. - For the first quarter of 2025, the company reported operating revenue of 2.625 billion, a slight increase of 0.42%, and net profit of 133 million, up 48.46% [1]. Product Strategy - The company focuses on its "Fresh and Sour Dual Strong" development strategy, achieving mid to high single-digit growth in low-temperature fresh milk and yogurt in 2024, with double-digit growth in high-end fresh milk and low-temperature modified milk [2]. - The "24-hour" fresh milk high-end series saw over 15% growth, and the "Active Moist" brand grew over 20%, with new product revenue maintaining a double-digit proportion [2]. Profitability Improvement - The company's gross margin and net profit margin for 2024 were 28.36% and 5.04%, respectively, reflecting year-on-year increases of 1.49 and 1.12 percentage points [3]. - Key factors for the gross margin improvement included enhanced product mix, strong performance in direct-to-consumer (DTC) channels, and cost advantages in raw milk [3]. - In Q1 2025, the gross margin was 29.50%, with a slight year-on-year increase of 0.12 percentage points, indicating stable profitability [3]. Strategic Outlook - The company is expected to continue its "Fresh Cube Strategy," solidifying its advantages in low-temperature fresh milk and yogurt, and is on track to meet its five-year net profit doubling target [4]. - Forecasts for net profit from 2025 to 2027 are 676 million, 816 million, and 938 million, representing year-on-year growth rates of 26%, 21%, and 15%, respectively [4].