CR Sanjiu(SZ:000999) Soochow Securities·2024-08-27 00:03Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company achieved a revenue of 14.106 billion yuan in H1 2024, representing a year-on-year growth of 7.3%, and a net profit of 2.398 billion yuan, up 27.77% [3] - The CHC segment showed robust performance with a revenue of 7.773 billion yuan in H1 2024, growing 14.00% year-on-year, and a gross margin of 62.87%, an increase of 5.90 percentage points [3] - The company has improved its net profit margin significantly, with a gross margin of 53.56% in H1 2024, up 1.34 percentage points, and a net profit margin of 18.27%, up 2.6 percentage points [3] Summary by Sections Revenue and Profit Forecast - Total revenue is projected to grow from 24.739 billion yuan in 2023 to 33.231 billion yuan in 2026, with a CAGR of approximately 10.01% [2] - Net profit is expected to increase from 2.853 billion yuan in 2023 to 4.482 billion yuan in 2026, reflecting a growth rate of 12.61% [2] Financial Performance - In H1 2024, the company reported a gross margin of 53.56% and a net profit margin of 18.27%, indicating effective cost management and operational efficiency [3] - The sales expense ratio decreased to 23.48%, while the financial expense ratio was -0.17%, showcasing improved efficiency [3] Valuation Metrics - The projected P/E ratios for 2024, 2025, and 2026 are 15.95, 14.16, and 12.57 respectively, indicating a favorable valuation compared to historical levels [2][4] - The company’s market capitalization is approximately 56.356 billion yuan, with a P/B ratio of 2.82 [6]