JONJEE(SH:600872) Haitong Securities·2024-08-11 03:01Investment Rating - The investment rating for the company is "Outperform the Market" and is maintained [2] Core Views - The report highlights that the company's revenue is under pressure in the short term but expects improvement [5] - The company achieved a revenue of 2.618 billion yuan in the first half of 2024, a year-on-year decrease of 1.35%, while the net profit attributable to the parent company was 350 million yuan, with a non-recurring net profit of 339 million yuan, showing a year-on-year increase of 14.53% [5] - The gross profit margin significantly improved to 36.63% in the first half of 2024, an increase of 4.68 percentage points year-on-year, mainly due to a decrease in raw material procurement prices and product structure optimization [5] - The report anticipates earnings per share (EPS) for 2024-2026 to be 0.91, 1.16, and 1.45 yuan respectively, with a corresponding reasonable value range of 31.85 to 36.4 yuan based on a price-to-earnings (PE) ratio of 35-40 times for 2024 [6][9] Summary by Sections Revenue and Profitability - In Q2 2024, the company's revenue was 1.134 billion yuan, a year-on-year decrease of 11.96%, with a net profit of 111 million yuan, and a non-recurring net profit of 103 million yuan, down 32.37% year-on-year [5] - The operating cash flow for the first half of 2024 was 5.92 billion yuan, an increase of 28.71% year-on-year [5] Cost Structure - The sales expense ratio increased to 10.8%, management expense ratio to 10.19%, and financial expense ratio to 0.04%, with year-on-year changes of +2.31 percentage points, +0.46 percentage points, and +0.14 percentage points respectively [5] Product Performance - The revenue from edible oil increased by 29.14% year-on-year in Q2 2024, while the revenue from soy sauce and chicken essence showed mixed results [5][6] Market Expansion - The number of distributors continued to increase, reaching 2,285 by the end of the first half of 2024, with a development rate of 95% in prefecture-level cities and 70% in county markets [6] Financial Forecast - The company is projected to have total revenue of 5.139 billion yuan in 2023, increasing to 7.603 billion yuan by 2026, with a net profit forecasted to rise from 1.697 billion yuan in 2023 to 1.134 billion yuan in 2026 [7][9]