YINGJIA DISTILLERY(SH:603198) Haitong Securities·2024-08-20 00:10Investment Rating - The investment rating for the company is "Outperform the Market" and is maintained [2][6] Core Views - The company reported strong earnings performance with a total revenue of 3.785 billion yuan for the first half of 2024, representing a year-on-year increase of 20.4%, and a net profit attributable to shareholders of 1.379 billion yuan, up 29.6% year-on-year [5] - The high growth of the "Cave Storage" series continues, with mid-to-high-end liquor revenue increasing by 24.9% year-on-year in Q2 2024, benefiting from the rapid growth of the Cave Storage series [5] - The company is optimizing its product structure, with mid-to-high-end liquor revenue accounting for 77.9% and 73.2% of total revenue in the first half and second quarter of 2024, respectively [5] - The gross margin improved by 2.63 percentage points year-on-year to 73.6% in the first half of 2024, driven by product structure upgrades [5] Summary by Sections Financial Performance - In Q2 2024, the company achieved total revenue of 1.461 billion yuan, a year-on-year increase of 19.0%, and a net profit of 466 million yuan, up 28.0% year-on-year [5] - The company expects EPS for 2024-2026 to be 3.63, 4.45, and 5.34 yuan per share, respectively [6][9] Revenue and Profit Forecast - The projected total revenue for 2024 is 8.091 billion yuan, with a year-on-year growth rate of 20.4% [7] - The net profit for 2024 is expected to reach 2.903 billion yuan, reflecting a year-on-year growth of 26.9% [7] Market Position and Strategy - The company is deepening its core market presence, with provincial and out-of-province revenue growth of 22.9% and 15.3% year-on-year in Q2 2024, respectively [5] - The number of distributors increased by 29 and 4, reaching 779 and 644, respectively [5] Valuation - The company is assigned a PE ratio of 20-25 times for 2024, corresponding to a reasonable value range of 72.58 to 90.72 yuan [6][9]