Proya(SH:603605) Changjiang Securities·2024-09-06 02:12Investment Rating - The investment rating for the company is "Buy" and is maintained [7][8]. Core Views - In H1 2024, the company achieved revenue of 5 billion yuan, a year-on-year increase of 37.9%, and a net profit attributable to shareholders of 700 million yuan, up 40.5% year-on-year. The net profit excluding non-recurring items was 680 million yuan, reflecting a growth of 41.8% year-on-year [6][7]. - The main brand showed significant growth, outperforming the industry, with the sub-brands also contributing positively to the overall performance. The online sales channel grew by 40.5%, while offline sales increased by 8.9% [6][7]. - The company is expected to continue its strong growth trajectory, with projected EPS for 2024, 2025, and 2026 being 3.93 yuan, 4.83 yuan, and 5.92 yuan respectively [7][8]. Summary by Sections Revenue Performance - In H1 2024, the company reported a revenue of 5 billion yuan, marking a 37.9% increase year-on-year. The main brand, Proya, and sub-brands such as Caitang and OR saw growth rates of 38%, 41%, and 42% respectively. The online sales channel grew by 40.5%, while offline sales increased by 8.9% [6][7]. Profitability Analysis - The gross margin decreased by 0.7 percentage points due to increased promotional activities. The sales expense ratio increased by 3.2 percentage points, primarily due to higher promotional costs. However, the management expense ratio improved by 1.8 percentage points, leading to a stable net profit margin [6][7]. Future Outlook - The company is expected to maintain strong growth, driven by brand strength and continuous product innovation. The sub-brand Caitang is expanding its product offerings in the base makeup category, which is anticipated to contribute to future growth [7][8].