Joyoung(SZ:002242) Xin Lang Cai Jing·2025-10-30 12:37Core Viewpoint - Jiuyang Co., Ltd. reported a decline in revenue for Q3 2025, primarily due to weak export performance, but achieved profitability in net profit and net profit after deducting non-recurring items [1][2]. Revenue Performance - In Q3 2025, Jiuyang achieved revenue of 1.6 billion yuan, a year-on-year decrease of 11.0% [1]. - Domestic online sales of Jiuyang's wall-breaking machines and soybean milk machines increased by 6.2% and 24.4% respectively in Q3 2025 [2]. - The decline in revenue is attributed mainly to the pressure on export performance, particularly from the SharkNinja OEM business, which saw a significant drop in transaction amounts from 1.26 billion yuan in the first 11 months of 2024 to 550 million yuan in the first 10 months of 2025 [2]. Profitability and Margins - Jiuyang's overall gross margin in Q3 2025 was 26.2%, an increase of 6.1 percentage points year-on-year [3]. - The increase in gross margin is likely due to the reduced proportion of lower-margin export business [3]. - The company achieved a net profit margin of 0.05% in Q3 2025, up by 4.4 percentage points year-on-year, primarily driven by the increase in gross margin [3]. Cost Management - Jiuyang maintained stable expense levels, with selling, administrative, research and development, and financial expense ratios at 18.5%, 4.9%, 3.9%, and -0.9% respectively, showing slight year-on-year increases [3]. - The total period expense ratio was 26.3%, an increase of 0.2 percentage points year-on-year [3]. Investment Outlook - Jiuyang is positioned as a leader in the domestic small appliance sector with long-term growth potential [4]. - The company adjusted its net profit forecasts for 2025, 2026, and 2027 to 150 million, 260 million, and 290 million yuan respectively, with corresponding price-to-earnings ratios of 49, 28, and 25 times [4]. - The target price for Jiuyang has been adjusted to 10.7 yuan, maintaining a "recommended" rating [4].