ZBOM(603801) Huaan Securities·2024-10-31 00:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported a challenging performance in Q3 2024, with total revenue for the first three quarters of 2024 at 3.675 billion, a year-on-year decrease of 6.46%, and a net profit attributable to shareholders of 266 million, down 23.80% year-on-year [1] - The cabinet and wardrobe businesses are under pressure, while the door business is still in an expansion phase, with high growth in overseas markets [1] - The overall gross margin for the first three quarters of 2024 was 36.83%, a decrease of 1.58 percentage points year-on-year [1] Summary by Sections Financial Performance - For Q3 2024, the company achieved revenue of 1.463 billion, a year-on-year decrease of 10.14%, and a net profit of 117 million, down 30.93% year-on-year [1] - The revenue breakdown for the first three quarters of 2024 shows cabinet revenue at 1.662 billion, wardrobe revenue at 1.504 billion, door revenue at 240 million, and other revenue at 269 million, with year-on-year changes of -5.18%, -10.22%, +0.46%, and +2.77% respectively [1] - The company’s direct stores, distribution stores, bulk business, overseas business, and other channels generated revenues of 253 million, 1.917 billion, 1.105 billion, 131 million, and 269 million respectively, with year-on-year changes of -16.25%, -11.81%, +0.95%, +35.24%, and +2.77% [1] Profitability Metrics - The gross margin for the first three quarters of 2024 was 36.83%, with a third-quarter gross margin of 37.04%, both showing declines year-on-year [1] - The net profit margin for the first three quarters of 2024 was 7.24%, down 1.65 percentage points year-on-year, while the third-quarter net profit margin was 8.03%, down 2.41 percentage points year-on-year [1] Future Outlook - The company is expected to achieve revenues of 5.881 billion, 6.323 billion, and 6.740 billion for 2024, 2025, and 2026 respectively, with year-on-year changes of -3.9%, +7.5%, and +6.6% [2] - The net profit forecast for the same years is 512 million, 560 million, and 608 million, with year-on-year changes of -14.0%, +9.5%, and +8.5% [2] - The company is steadily advancing its home furnishing strategy, with stable growth in the core cabinet business and rapid development in the wardrobe and door segments, which are expected to drive margin improvements [1]