HAI TIAN(SH:603288) EBSCN·2024-09-01 02:03Investment Rating - The report maintains a "Buy" rating for the company [2] Core Views - The company reported a robust recovery in Q2 2024, with a total revenue of 14.16 billion yuan, up 9.2% year-on-year, and a net profit attributable to shareholders of 3.45 billion yuan, up 11.5% year-on-year [2] - The company has launched an employee stock ownership plan to enhance employee motivation, with a target of achieving a net profit growth of no less than 10.8% year-on-year for 2024 [2] Summary by Sections Financial Performance - For H1 2024, the company achieved a revenue of 14.16 billion yuan, with Q2 revenue at 6.46 billion yuan, reflecting a year-on-year increase of 8.0% [2] - The main product categories saw revenue growth: soy sauce (+6.9%), seasoning sauce (+8.6%), oyster sauce (+5.7%), and others (+22.3%) [2] - The company’s gross margin improved to 36.9% for H1 2024, driven by lower raw material costs and economies of scale [2] Market and Distribution - The company has 6,674 distributors as of the end of Q2 2024, an increase of 83 from the beginning of the year, indicating enhanced distributor confidence [2] - Online sales grew significantly, with H1 2024 online revenue up 29.2% year-on-year [2] Cost and Expenses - The company’s expense ratio increased, with selling expenses rising due to higher advertising and promotional spending, which saw a 39.7% increase year-on-year [2] - The net profit margin for H1 2024 was 24.4%, up 0.51 percentage points year-on-year [2] Profit Forecast and Valuation - The net profit forecast for 2024 has been slightly raised to 6.24 billion yuan, with EPS estimates for 2024-2026 at 1.12, 1.24, and 1.38 yuan respectively [2][3] - The current stock price corresponds to a P/E ratio of 33x for 2024, 30x for 2025, and 27x for 2026 [2][3]