Anjoy food(SH:603345) SINOLINK SECURITIES·2024-08-20 02:03Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected price increase of over 15% in the next 6-12 months [12][13]. Core Insights - The company has demonstrated resilient growth in its core business, with a focus on optimizing product offerings and leveraging strong distribution channels to drive revenue [6][8]. - The company reported a revenue of 7.544 billion RMB for H1 2024, reflecting a year-on-year growth of 9.42%, and a net profit of 803 million RMB, up 9.17% year-on-year [6]. - The company plans to distribute a cash dividend of 1.38 RMB per share to all shareholders [6]. Financial Performance Summary - Revenue growth rates are projected to be 12.57% in 2024, 11.76% in 2025, and 11.24% in 2026, with expected revenues of 15.811 billion RMB, 17.670 billion RMB, and 19.657 billion RMB respectively [5][8]. - The net profit is forecasted to grow to 1.642 billion RMB in 2024, 1.838 billion RMB in 2025, and 2.042 billion RMB in 2026, with growth rates of 11.08%, 11.93%, and 11.12% respectively [5][8]. - The diluted earnings per share (EPS) are expected to reach 5.598 RMB in 2024, 6.265 RMB in 2025, and 6.962 RMB in 2026 [5][8]. - The company’s return on equity (ROE) is projected to improve from 12.02% in 2024 to 12.77% in 2026 [5]. Revenue Breakdown - In H1 2024, the company achieved revenue of 3.833 billion RMB from frozen prepared foods, 1.291 billion RMB from rice and flour, and 2.208 billion RMB from vegetables, with respective growth rates of 21.9%, 1.4%, and 0.4% [7]. - The company’s distribution channels showed varied performance, with e-commerce and new retail channels growing by 27.3% and 7.3% respectively, while traditional channels faced challenges [7]. Cost and Profitability Analysis - The gross margin for H1 2024 was reported at 23.9%, an increase of 1.81 percentage points year-on-year, benefiting from lower raw material costs and improved product mix [7]. - The net profit margin for H1 2024 was 10.82%, slightly down from the previous year, attributed to increased expenses [7].