weizhixiang(605089) 华鑫证券·2024-09-02 05:30Investment Rating - The report maintains a "Buy" rating for the company [1][2] Core Views - The company is experiencing pressure on performance due to weak external demand, with a significant decline in revenue and net profit in the first half of 2024 [1] - The company is expected to improve its performance as it rationalizes channel support policies and enhances product supply capabilities [2] Financial Performance Summary - For H1 2024, the company reported revenue of 327 million yuan, a decrease of 22% year-on-year, and a net profit of 42 million yuan, down 43% [1] - In Q2 2024, revenue was 161 million yuan, a decline of 25%, with a net profit of 23 million yuan, down 40% [1] - The gross margin in Q2 2024 decreased by 1 percentage point to 24.70%, while the net profit margin fell by 4 percentage points to 14.51% [1] Product and Regional Performance - In Q2 2024, revenue from various product categories showed declines: meat and poultry products down 24%, aquatic products down 27%, and other products down 25% [1] - Revenue from different regions in H1 2024 varied, with declines in most areas except for Southwest and Northeast, which saw growth of 8% [1] Channel Strategy - The company is focusing on enhancing its channel strategy, with revenue from retail, supermarkets, and other channels declining significantly [1] - The company plans to implement support policies for store operations to boost confidence among franchisees and improve sales performance [2] Earnings Forecast - The company’s EPS is projected to be 0.80 yuan in 2024, 0.84 yuan in 2025, and 0.86 yuan in 2026, with corresponding P/E ratios of 23, 22, and 21 times [2]