Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [8][16]. Core Insights - The company is positioned as an independent automotive service provider, utilizing an integrated online and offline model to deliver standardized, high-quality services. It leverages its scale advantages to maintain strong bargaining power with suppliers and offers a comprehensive automotive service platform connecting car owners, suppliers, and service outlets [11][21]. - The automotive service market in China is expected to grow significantly, with a projected increase from CNY 1,239.8 billion in 2022 to CNY 1,931.9 billion by 2027, reflecting a CAGR of 9.0%. The company is well-positioned to capture market share as the market shifts from traditional 4S stores to integrated automotive service models [11][12]. - The company has established competitive barriers from three dimensions: franchisees, car owners, and supply chain. It attracts franchisees with strong profitability and rapid traffic generation, addresses car owners' pain points through standardized and efficient service, and has achieved scale effects in its supply chain [11][13]. Summary by Sections Company Overview - The company focuses on the automotive aftermarket and has become a leading O2O automotive service provider in China. It connects over 4,500 automotive parts suppliers and operates through its "Tuhu Car Maintenance" app and various service outlets [21][23]. Industry Situation - The automotive service market is expanding due to increasing vehicle ownership and aging vehicles. The company is expected to benefit from the transition to O2O models, with its market share projected to reach 58.1% by 2027 [11][12]. Core Advantages - The company has a strong appeal to franchisees, with average monthly gross profits exceeding CNY 150,000 per store. It also provides standardized, efficient services to car owners and has expanded its product offerings significantly, becoming the largest retailer of tires and engine oil in China [11][12][13]. Financial Projections - Revenue is expected to grow from CNY 149.3 billion in 2024 to CNY 174.9 billion in 2026, with corresponding net profits increasing from CNY 7.4 billion to CNY 17.3 billion. The company anticipates significant growth in high-margin services as brand recognition and trust increase [16][36].
途虎-W：领航O2O汽车服务，规模效应释放利润弹性