Proya(SH:603605) Guotou Securities·2024-10-25 02:23Investment Rating - The investment rating for the company is "Buy - A" with a target price of 116.53 CNY [5][11]. Core Insights - The company reported a robust revenue growth of 32.72% year-on-year, reaching 6.966 billion CNY in the first three quarters of 2024, driven by online channel revenue and steady growth of smaller brands [2]. - The net profit attributable to shareholders for the same period was 999 million CNY, reflecting a growth of 33.95% [2]. - The company continues to focus on skincare innovation and research, leading to significant sales performance during promotional events like Double Eleven [5][8]. Financial Performance Summary - For Q3 2024, the company achieved a revenue of 1.965 billion CNY, up 21.25% year-on-year, with a net profit of 298 million CNY, an increase of 20.72% [2]. - The gross profit margin slightly decreased to 70.07% in the first three quarters, down 1.11 percentage points, while the net profit margin improved to 14.34% [3]. - The average selling price of skincare products increased by 24.64% to 80.22 CNY per unit, while the average selling prices for beauty makeup and hair care products decreased [4]. Product Segment Performance - Skincare products dominated Q3 revenue with 1.654 billion CNY, growing 20.73%, while hair care products saw a significant growth of 47.06% [4]. - The company is advancing product innovation, focusing on soothing and repairing functions, with new product launches showing promising results [5][8]. Future Growth Projections - The company is expected to maintain a revenue growth rate of 23.3%, 22.3%, and 21.6% for 2024, 2025, and 2026 respectively, with net profit growth rates of 29.1%, 26.4%, and 23.7% [9][10].