SAINT ANGELO(002154) 东方证券·2024-11-03 03:12Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 5.04 CNY based on a 14x PE valuation for 2024 [2][3][7]. Core Insights - The company reported Q3 2024 results that fell short of market expectations, with a revenue decline of 3.59% year-on-year to 3.536 billion CNY and a net profit drop of 25.2% to 415 million CNY. Q3 alone saw revenue and net profit decrease by 11.7% and 51.7% respectively, attributed to weak consumer spending [1][6]. - The report highlights that the sales expense ratio significantly increased, negatively impacting overall profitability. The gross margin improved slightly by 0.1 percentage points to 62.9%, while the net profit margin decreased by 5.6 percentage points to 6.7% [1][6]. - The company is expected to continue optimizing and expanding its Haji's brand stores, with potential improvements anticipated in October and beyond, alongside positive expectations for its online business during the Double Eleven shopping festival [1][6]. Financial Performance Summary - For the first three quarters of 2024, the company achieved operating income of 3.536 billion CNY, a year-on-year decrease of 3.59%, and a net profit attributable to shareholders of 415 million CNY, down 25.2% [1][5]. - The report projects adjusted earnings per share for 2024-2026 to be 0.36 CNY, 0.43 CNY, and 0.5 CNY respectively, down from previous estimates of 0.46 CNY, 0.54 CNY, and 0.61 CNY [2][7]. - The company’s inventory turnover days increased to 288 days, up by 29 days year-on-year, and cash flow from operating activities for the first three quarters was 140 million CNY, significantly down from 432 million CNY in the same period last year [1][5].