ELLASSAY(SH:603808) Xin Lang Cai Jing·2025-05-13 02:29Core Insights - The company reported a revenue increase in 2024 but faced significant challenges in overseas operations, resulting in a net loss [1][2] Financial Performance - In 2024, the company achieved an operating revenue of 3.036 billion yuan, a year-on-year increase of 4.14% [1] - The net profit attributable to shareholders was -310 million yuan, a decline of 392.99% year-on-year [1] - The basic earnings per share were -0.85 yuan, compared to 0.29 yuan in the same period last year [1] - The gross profit margin for 2024 was 67.36%, a decrease of 0.42 percentage points year-on-year [3] - The net profit margin was -8.42%, down 13.98 percentage points year-on-year [3] Brand Performance - The main brand, ELLASSAY, saw comprehensive development in both online and offline channels, with online sales growing by 55% year-on-year [2] - The German brand Laurèl increased its store count to 94 and achieved a revenue growth of 19% [2] - The UK brand self-portrait experienced a 21% increase in sales revenue, surpassing 500 million yuan [2] - The French brand IRO had a good performance in China, with revenue growth of 17% [2] Strategic Adjustments - The company transferred 50% of its stake in the subsidiary Dongming International, which holds the Ed Hardy brand, in December 2024, meaning Ed Hardy will not be included in the consolidated financial statements from 2025 [1] - The company is implementing cost reduction and efficiency improvement measures for its underperforming overseas operations [2] Market Trends - In Q1 2025, the company reported an operating revenue of 690 million yuan, a decline of 7.82% year-on-year, primarily due to the exclusion of Ed Hardy from the consolidated financials [4] - On a comparable basis, domestic market revenue grew by 8.1% year-on-year [4] Investment Outlook - The company has established a diverse brand matrix covering various market segments, including high-end fashion brands [5] - The projected earnings per share (EPS) for 2025-2027 are 0.51 yuan, 0.68 yuan, and 0.83 yuan, with corresponding price-to-earnings (PE) ratios of 14.0X, 10.5X, and 8.7X [5]