IMEIK(SZ:300896) Orient Securities·2024-10-25 10:40Investment Rating - The report maintains a "Buy" rating for the company with a target price of 218.81 yuan [2][4]. Core Insights - The company achieved a revenue of 2.376 billion yuan in the first three quarters, representing a year-on-year growth of 9.5%, and a net profit attributable to the parent company of 1.59 billion yuan, up 11.8% year-on-year. However, Q3 performance showed a revenue growth of only 1% and a net profit growth of 2%, which fell short of market expectations [1][4]. - The revenue from solution products grew by 11.7% year-on-year, while gel products saw a 14.6% increase. The report anticipates steady growth for solution products in Q3 2024, but gel products may face short-term pressure due to their high-end positioning amid weak mid-to-high-end consumption [1][4]. - Despite the unfavorable revenue performance, the company's gross margin remained stable, and it effectively controlled expenses, leading to an increase in net profit margin by 1 percentage point year-on-year in Q3 2024 [1][4]. - The company’s pipeline of products is gradually receiving approvals, providing sustained growth momentum for the future. Recent approvals include a medical gel product and a clinical trial notification for another product, indicating strong competitive capabilities in the domestic medical aesthetics market [1][4]. Financial Forecast and Adjustments - The profit forecast has been adjusted, with expected net profits for 2024, 2025, and 2026 set at 2.056 billion yuan, 2.489 billion yuan, and 3.03 billion yuan respectively, down from previous estimates [2][4]. - The company’s revenue is projected to grow from 2.869 billion yuan in 2023 to 3.884 billion yuan in 2025, with a compound annual growth rate of approximately 22.1% [3][4].