JINHUI(603919) KAIYUAN SECURITIES·2024-10-29 06:31Investment Rating - The investment rating for the company is "Accumulate" (maintained) [1] Core Views - The company has demonstrated resilient revenue growth and profit elasticity, with a projected increase in net profit for 2024-2026 [4] - The company achieved a revenue of 2.33 billion yuan in the first three quarters of 2024, representing a year-on-year increase of 15.3%, and a net profit of 330 million yuan, up 22.2% year-on-year [4] - The report maintains profit forecasts for 2024-2026, expecting net profits of 400 million yuan, 490 million yuan, and 600 million yuan, with respective year-on-year growth rates of 20.7%, 24.0%, and 22.3% [4] Revenue and Profitability - The company’s revenue for Q3 2024 was 570 million yuan, a year-on-year increase of 15.8%, with a net profit of 38 million yuan, up 108.8% year-on-year [4] - The gross profit margin decreased by 1.52 percentage points in Q3 due to increased marketing costs, but the net profit margin significantly improved by 2.9 percentage points [7] Product Structure and Market Performance - The company’s product structure continues to optimize, with revenue from products priced above 300 yuan increasing by 43.8% year-on-year [5] - The company’s performance in the mid-to-high-end product segment remains strong, driven by marketing transformation and focus on high-end product offerings [5] Regional Growth - Revenue from provincial and non-provincial markets for the first three quarters was 1.72 billion yuan and 550 million yuan, respectively, with year-on-year growth of 13.9% and 15.7% [6] - The company is expanding its market presence outside its home province, particularly in East and North China, while deepening its existing market in the Gansu region [6] Financial Projections - The company’s projected earnings per share (EPS) for 2024, 2025, and 2026 are 0.78 yuan, 0.97 yuan, and 1.19 yuan, respectively, with corresponding price-to-earnings (P/E) ratios of 27.9, 22.5, and 18.4 [4][8] - The company’s total revenue is expected to reach 3.004 billion yuan in 2024, with a year-on-year growth of 17.9% [8]