Proya(603605) 国元证券·2024-10-25 05:03Investment Rating - The investment rating for the company is "Buy" and is maintained [2][5]. Core Insights - The company reported steady growth in performance during the off-season, with a significant increase in gross margin and net profit margin quarter-on-quarter [3]. - The management transition has been smooth, and the company achieved impressive sales rankings during the Double Eleven shopping festival [4]. - The main brand continues to experience strong growth driven by a big product strategy, and the company is well-positioned to build a comprehensive domestic beauty ecosystem [5]. Financial Performance Summary - For the first three quarters of 2024, the company achieved operating revenue of 6.966 billion yuan, a year-on-year increase of 32.72%, and a net profit attributable to shareholders of 999 million yuan, up 33.95% year-on-year [3]. - In Q3 alone, the company reported operating revenue of 1.965 billion yuan, a year-on-year increase of 21.15%, and a net profit of 298 million yuan, up 20.72% year-on-year [3]. - The gross margin for Q3 was 70.71%, an increase of 1.12 percentage points from Q2, with a net profit margin of 15.15%, up 1 percentage point quarter-on-quarter [3]. Product and Management Developments - The company has been continuously iterating on existing products and launching new ones, enhancing its product matrix in preparation for the Double Eleven sales event [4]. - The management team underwent a successful transition, with the new general manager taking over smoothly from the previous one [4]. Future Earnings Forecast - The expected earnings per share (EPS) for 2024, 2025, and 2026 are projected to be 3.92 yuan, 4.83 yuan, and 5.88 yuan, respectively, with corresponding price-to-earnings (P/E) ratios of 25, 21, and 17 times [5].