LBX(SH:603883) KAIYUAN SECURITIES·2024-10-31 09:01Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - In Q3 2024, the company's profit was under pressure, but the gross margin improved year-on-year. The company achieved revenue of 16.232 billion yuan in the first three quarters of 2024, a year-on-year increase of 1.19%. The net profit attributable to the parent company was 630 million yuan, down 12.06% year-on-year [3] - The company is expected to continue optimizing product profitability and maintain steady growth in operating performance, despite short-term operational pressures [3] Financial Performance Summary - For Q1-Q3 2024, the company reported revenue of 16.232 billion yuan (up 1.19% year-on-year) and a net profit of 630 million yuan (down 12.06% year-on-year). The gross margin for the same period was 33.87%, an increase of 1.36 percentage points [3] - In Q3 2024 alone, the company achieved revenue of 5.292 billion yuan (up 1.18% year-on-year) and a net profit of 127 million yuan (down 37.32% year-on-year) [3] - The company’s gross margin for Q1-Q3 2024 was 33.87%, with a net profit margin of 4.58% [3] - The company’s revenue from the pharmaceutical retail business was 13.314 billion yuan (up 1.66% year-on-year), with a gross margin of 38.03% (up 1.04 percentage points) [4] - The company has a total of 15,591 stores as of Q3 2024, with 2,368 new stores added during the reporting period [5] Future Earnings Forecast - The company’s forecasted net profits for 2024-2026 are 809 million yuan, 916 million yuan, and 1.057 billion yuan respectively, with corresponding EPS of 1.06 yuan, 1.21 yuan, and 1.39 yuan per share [3][6] - The current stock price corresponds to a PE ratio of 14.9, 13.2, and 11.4 times for 2024, 2025, and 2026 respectively [3][6]