Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of RMB 80.3 [2][3][5] Core Views - The company achieved a revenue of RMB 1.24 billion in Q3 2024, representing a year-on-year increase of 19% and a quarter-on-quarter decrease of 6.35%. The net profit attributable to the parent company was RMB 162 million, up 49% year-on-year and up 1.1% quarter-on-quarter. The strong performance is driven by the rapid growth of its proprietary brands such as Mai Fudi and Fuleijiate [2][3] - The company is well-positioned as a leading player in the domestic pet industry, benefiting from high industry growth and an optimized competitive landscape, indicating strong long-term growth potential and performance improvement [2][3] - The company continues to see high growth in its proprietary brands, with domestic sales estimated to have grown by 25% to 30% year-on-year in Q3 2024. The company is also expanding its international business, with an estimated revenue growth of around 10% [2][3] Summary by Sections Revenue and Profitability - The company reported a gross margin of 41.8% in Q3 2024, an increase of 3.0 percentage points year-on-year but a slight decrease of 1 percentage point quarter-on-quarter, attributed to exchange rate impacts. Domestic business gross margins are expected to continue improving [2][3] - The company’s sales, management, R&D, and financial expense ratios were 18.7%, 5.7%, 1.7%, and -0.10% respectively, with year-on-year changes of +2.12, -1.8, -0.11, and +0.22 percentage points [2][3] Shareholder Returns - The company announced a profit distribution plan for the first three quarters, proposing a cash dividend of RMB 2.5 per 10 shares, totaling approximately RMB 100 million. The high industry growth and continuous optimization of the competitive landscape support the company's strong growth potential [2][3] Earnings Forecast - The earnings forecast for 2024-2026 is maintained, with expected net profits of RMB 600 million, RMB 728 million, and RMB 919 million respectively. The target price of RMB 80.3 corresponds to a 44x PE for 2025, reflecting the company's strong brand power and growth momentum [3][5]
乖宝宠物：自主品牌维持高增，分红注重股东回报