YIWU CCC(SH:600415) Guotai Junan Securities·2024-10-16 06:37Investment Rating - The report maintains an "Accumulate" rating for the company, with a target price raised to 14.79 CNY from the previous 11.46 CNY [5][15]. Core Insights - The company's Q3 net profit attributable to shareholders increased by 177%, exceeding previous expectations, driven by growth in both offline and online sales [5][6]. - The report forecasts EPS growth of 5%, 14%, and 25% for 2024, 2025, and 2026 respectively, with a projected PE ratio of 29 times [6][15]. Financial Summary - For the first three quarters, the company reported revenue of 10.61 billion CNY, a year-on-year increase of 34.3%, and a net profit of 2.33 billion CNY, up 0.5% [6]. - In Q3 alone, revenue reached 3.85 billion CNY, marking a 40.2% increase, while net profit soared to 881 million CNY, reflecting a 177% growth [6]. - The gross margin improved to 32%, up 4.9 percentage points, and the net profit margin reached 19.6%, up 4 percentage points [6]. Market and Business Outlook - The company benefits from the high demand in Yiwu's export market, with total import and export value increasing by 17.2% year-on-year [6]. - The cross-border payment business has seen significant growth, with transaction volume exceeding 20 billion CNY, up over 770% [6]. - The report highlights the potential of the company's new market initiatives and platforms, which are expected to enhance revenue and profit growth [6].