JINHUI(603919) Guoyuan Securities·2024-10-29 00:31Investment Rating - The report maintains an "Accumulate" rating for the company [3][4]. Core Views - The company reported a total revenue of 2.328 billion yuan for the first three quarters of 2024, representing a year-on-year increase of 15.31%, with a net profit attributable to shareholders of 333 million yuan, up 22.17% [3]. - The growth in revenue for products priced above 300 yuan was robust, with a 43.80% increase year-on-year, while products priced between 100-300 yuan saw a steady growth of 14.96% [3]. - The company is accelerating its expansion outside its home province, with revenue from provincial and non-provincial regions for the first three quarters of 2024 showing increases of 13.89% and 15.68% respectively [3]. - The gross profit margin for the first three quarters of 2024 was 64.14%, an increase of 0.65 percentage points year-on-year, primarily due to product mix upgrades [3]. Summary by Sections Financial Performance - For Q3 2024, the company achieved total revenue of 574 million yuan, a year-on-year increase of 15.77%, and a net profit of 38 million yuan, up 108.84% [3]. - The company’s revenue from different sales channels in the first three quarters of 2024 was 2.152 billion yuan from distributors, 58 million yuan from online sales, and 60 million yuan from direct sales, with online sales growing significantly by 211.20% year-on-year [3]. - The company’s net profit forecast for 2024-2026 is 400 million yuan, 480 million yuan, and 573 million yuan, with growth rates of 21.69%, 20.00%, and 19.38% respectively [4]. Cost and Profitability - The report indicates a decrease in expense ratios, which contributed to a 72% increase in net profit attributable to shareholders in Q3 2024 [3]. - The company’s net profit margin for Q3 2024 was 6.63%, an increase of 2.95 percentage points year-on-year, driven by reduced sales and management expense ratios [3].