YONGHUI SUPERSTORES(601933) 光大证券·2024-08-27 10:41Investment Rating - The report maintains an "Overweight" rating for the company, with a target price of 2.16 CNY [3][4] Core Views - The company's revenue for 1H2024 decreased by 10.11% YoY to 37.78 billion CNY, while net profit attributable to shareholders dropped by 26.34% YoY to 275 million CNY [1] - The company's gross margin for 1H2024 declined by 0.41 percentage points to 21.58%, with a further drop in 2Q2024 to 19.86%, down 0.97 percentage points YoY [1] - The company's operating expenses ratio for 1H2024 slightly decreased by 0.002 percentage points to 21.61%, with sales/management/financial/R&D expense ratios at 17.24%/2.35%/1.67%/0.35% respectively [1] - The company added 5 new stores and closed 62 stores in 1H2024, bringing the total number of stores to 943 by the end of June 2024 [2] - The company's self-operated platform "Yonghui Life" achieved sales of 4.22 billion CNY in 1H2024, a 4% YoY increase, with a monthly average repurchase rate of 47.3% [2] Financial Performance - The company's revenue for 2Q2024 was 16.11 billion CNY, a decrease of 11.58% YoY, with a net loss attributable to shareholders of 461 million CNY [1] - The company's non-GAAP net profit for 1H2024 was 30 million CNY, a significant decrease of 69.94% YoY [1] - The company's EPS for 1H2024 was 0.03 CNY, down 26.34% YoY [1] - The company's ROE (diluted) for 2024E is projected to be 2.33%, increasing to 5.42% by 2026E [4] - The company's P/E ratio for 2024E is 138, expected to decrease to 54 by 2026E [4] Operational Highlights - The company optimized its product structure in 1H2024, introducing 20,276 new products and phasing out 22,480 products, with a new product introduction rate of 22.5% and a phase-out rate of 24.9% [2] - The company's private label sales reached 1.28 billion CNY in 1H2024, accounting for 3.4% of total revenue [2] - The company's "Yonghui Life" platform covered 883 stores by the end of June 2024, with an average daily order volume of 306,000 [2] Market Data - The company's total market capitalization is 19.60 billion CNY, with a total share capital of 9.08 billion shares [5] - The company's stock price range over the past year was between 2.08 CNY and 3.44 CNY [5] - The company's 3-month turnover rate is 117.36% [5]