CHINA PET FOODS(SZ:002891) Huaan Securities·2024-10-24 13:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has shown significant growth in its performance for 2023, with a notable increase in both revenue and net profit [1] - The overseas business continues to expand, while the domestic business has achieved comprehensive profitability [1] - The company is focusing on enhancing its core self-owned brand's image and market share, alongside steady growth in overseas operations [2][3] Financial Performance Summary - For Q3 2024, the company reported a net profit attributable to the parent company of 140 million yuan, representing a year-on-year increase of 73.2% [1] - The total revenue for the first three quarters of 2024 reached 3.189 billion yuan, a year-on-year growth of 17.6% [1] - The gross profit margin for Q3 2024 was 26.9%, with a net profit margin of 12.0% [1] - The company expects to achieve main business revenues of 4.372 billion yuan, 5.084 billion yuan, and 5.876 billion yuan for 2024, 2025, and 2026 respectively, with corresponding net profits of 343 million yuan, 393 million yuan, and 470 million yuan [2][3] Future Projections - The company anticipates a revenue growth rate of 16.7% for 2024, followed by 16.3% in 2025 and 15.6% in 2026 [2] - The projected net profit growth rates are 47.0% for 2024, 14.8% for 2025, and 19.4% for 2026 [2] - The gross margin is expected to improve from 28.1% in 2024 to 29.5% in 2026 [2] Strategic Focus - The company is committed to accelerating its overseas market expansion while consolidating its traditional OEM/ODM business [1] - Efforts are being made to enhance the profitability of the domestic market through various strategies, including optimizing product structure and increasing the proportion of high-margin products [1]