Core Insights - The company has a competitive advantage due to high-quality membership and comprehensive lifecycle management, with traditional beauty services as the foundation and medical beauty and sub-health services extending customer lifecycles, leading to high customer retention [1] - The company is focusing on increasing dividend ratios, optimizing shareholder structure, and implementing long-term incentive mechanisms, which may enhance liquidity and indicate potential for PE valuation recovery [1] - The company has raised its target price and maintains a buy rating [1] Business Performance - In 2024, the beauty and health service revenue reached 1.443 billion, a year-on-year increase of 20.9%, with organic growth of 6%. By the end of 2024, the number of direct and franchise stores reached 239 and 276, respectively, with net new openings of 68 and 77 stores during the year [1] - The company plans to further acquire 20% of Guangzhou Nairui's shares, increasing its stake to 90%, and is expected to continue industry consolidation and business acquisitions to enhance market share and scale effects [1] Medical and Sub-health Services - In 2024, revenue from medical beauty and sub-health services reached 928 million and 201 million, respectively, with year-on-year growth of 9.1% and 98.9%. The penetration rate of beauty members into medical beauty and sub-health services reached 24.9% [2] - The women's special care center generated over 100 million in revenue, with a year-on-year increase of over 300%, accounting for more than 50% of sub-health medical business revenue, and active membership increased by 200% year-on-year [2] Strategic Initiatives - The company is implementing three strategic initiatives to maximize shareholder value: establishing a long-term shareholder return mechanism, attracting quality long-term institutional investors, and implementing a core management equity incentive plan [2] Profit Forecast and Valuation - The company forecasts net profits attributable to shareholders of 315 million, 368 million, and 418 million for 2025-2027, maintaining a strong cash position of nearly 1.4 billion by the end of 2024 [3] - The company is assigned a target price of 37.00 HKD for 2025, based on a 25x PE valuation, reflecting its position as a leading brand in beauty and health and its ongoing initiatives to enhance shareholder value [3]
美丽田园医疗健康(2373.HK)：内生扎实、外延提份额 上调目标价