SPM(601900) 东方证券·2024-11-04 10:10Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 14.85 CNY based on a P/E ratio of 15 times for comparable companies [2][3]. Core Insights - The company reported a revenue of 2.454 billion CNY for Q3 2024, reflecting a year-over-year increase of 2.71%. However, the net profit attributable to shareholders decreased by 14.63% to 230 million CNY [1][2]. - The core business remains robust, with steady growth in textbook and educational materials, while general book sales showed a decline of 3.41%, which is better than the overall market decline of 5% [1]. - The gross margin for Q3 2024 was stable at 33.61%, with effective cost control reflected in a sales expense ratio of 8.66% and a management expense ratio of 10.54% [1]. - Cash flow from operating activities was negative at -601 million CNY, primarily due to delayed textbook settlements and increased corporate income tax payments, but the company has a strong cash reserve of 1.944 billion CNY [1]. Financial Performance Summary - For the first three quarters of 2024, the company achieved a cumulative revenue of 6.478 billion CNY, a slight increase of 0.49% year-over-year [1]. - The forecast for net profit attributable to shareholders for 2024-2026 is 888 million CNY, 1.016 billion CNY, and 1.107 billion CNY, respectively, with corresponding EPS of 0.99 CNY, 1.13 CNY, and 1.24 CNY [2][5]. - The company is expected to maintain a stable growth trajectory, with projected revenue growth rates of 12.3% in 2024, followed by 6.9% and 6.6% in the subsequent years [5][7].