LANCY(SZ:002612)2024-10-27 06:44Investment Rating - The report maintains an "Outperform" rating for the company [4][5]. Core Views - The company reported Q3 results that fell short of market expectations, with Q3 net profit under pressure. For the first three quarters of 2024, revenue was 4.178 billion yuan, a year-on-year increase of 1.45%, while net profit attributable to shareholders was 209 million yuan, a year-on-year decrease of 4.87% [4][5]. - The company is a regional leader in the medical beauty sector and has strong incubation capabilities. It has announced the establishment of a new entity to enter upstream medical device production, enhancing supply chain stability and bargaining power [4][5]. - The company operates in three main segments: fashion women's wear, green baby products, and medical beauty, and plans to continue expanding through both organic growth and acquisitions [5]. Financial Summary - For the first three quarters of 2024, the gross margin was 58.92%, an increase of 1.34 percentage points, while the net profit margin was 5.01%, a decrease of 0.24 percentage points [4][5]. - The company expects net profits for 2024 to be 304 million yuan, with projected growth rates of 35.1% in 2024, 14.2% in 2025, and 17.1% in 2026 [6][5]. - The company’s revenue for 2024 is projected to be 5.918 billion yuan, with a year-on-year growth rate of 15% [6][5].