Investment Rating - The report maintains a "Buy" rating for the company with a target price adjusted to 10 CNY, down from a previous estimate of 11.20 CNY [7][11]. Core Insights - The company is actively expanding into overseas markets while continuously introducing new products in domestic sales, which are expected to sustain growth [2][11]. - Due to a slow recovery in industry demand and intense competition, the earnings forecast has been revised downwards, with expected EPS for 2024-2026 at 0.34, 0.45, and 0.58 CNY, reflecting year-on-year growth of 46%, 30%, and 31% respectively [3][11]. Financial Summary - Revenue: The company reported a revenue of 3,307 million CNY in 2022, with a forecast of 3,440 million CNY for 2024, indicating a growth of 9.1% [1]. - Net Profit: The net profit attributable to the parent company was 191 million CNY in 2022, expected to rise to 158 million CNY in 2024, showing a significant recovery from a projected decline in 2023 [1][3]. - Earnings Per Share (EPS): EPS is projected to be 0.34 CNY in 2024, up from 0.24 CNY in 2023 [1][11]. - Return on Equity (ROE): The ROE is expected to improve from 3.9% in 2023 to 5.5% in 2024 [1]. Revenue Performance - Domestic Sales: Domestic sales reached 13.2 billion CNY in the first half of 2024, a year-on-year increase of 3% [14]. - Export Sales: Export sales amounted to 3 billion CNY, reflecting a 12% increase year-on-year [14]. - Product Segments: The home environment appliances segment saw a revenue decline of 9%, while the personal care segment grew by 26% [14]. Profitability Metrics - Gross Margin: The gross margin for the first half of 2024 was 32.11%, an increase of 2.01 percentage points year-on-year [15]. - Net Margin: The net margin remained stable at 4.11% [15]. - Cost Management: The company has seen an increase in sales expense ratio, indicating a need for improved cost efficiency amidst a slow recovery in consumer demand [15]. Cash Flow and Financial Health - Cash Position: As of the end of the first half of 2024, the company had cash and cash equivalents plus trading financial assets totaling 14.14 billion CNY [16]. - Cash Flow from Operations: The net cash flow from operating activities was 0.5 billion CNY, a significant decrease of 76.04% year-on-year [16]. - Inventory and Receivables: Inventory stood at 5.14 billion CNY, with accounts receivable totaling 4.36 billion CNY [16].
德尔玛：2024年中报点评：内销表现平稳，外销实现双位数增长