JONJEE(SH:600872) Huachuang Securities·2024-07-10 23:01Investment Rating - The report maintains a "Strong Buy" rating for Zhongju Gaoxin (600872) with a target price of 31.35 CNY, compared to the current price of 19.68 CNY [1]. Core Views - The company's performance in the first half of 2024 is expected to be below previous forecasts, with revenue projected at approximately 2.62 billion CNY, a year-on-year decline of 1.29%. The net profit attributable to shareholders is estimated to be between 315 million CNY and 378 million CNY, with a non-recurring net profit expected to be between 306 million CNY and 368 million CNY, reflecting a growth of 3.37% to 24.30% year-on-year [1]. - The company is undergoing significant internal reforms and marketing efforts, despite facing challenges from external demand and channel adjustments. The report emphasizes the importance of maintaining internal team confidence and optimizing channel strategies to stabilize operations [1]. Financial Summary - Total revenue for 2023 is reported at 5,139 million CNY, with projections of 5,794 million CNY for 2024, 7,117 million CNY for 2025, and 7,601 million CNY for 2026, indicating a year-on-year growth rate of -3.8% in 2023 and expected growth rates of 12.7%, 22.8%, and 6.8% for the following years [1][9]. - The net profit attributable to shareholders is forecasted to be 1,697 million CNY in 2023, declining to 1,062 million CNY in 2024, then recovering to 1,587 million CNY in 2025 and 1,156 million CNY in 2026, with growth rates of 386.5%, -37.4%, 49.4%, and -27.1% respectively [1][9]. - Earnings per share (EPS) is projected to be 2.17 CNY for 2023, decreasing to 1.36 CNY in 2024, then increasing to 2.03 CNY in 2025 and 1.48 CNY in 2026 [1][9].