JH Group(603518) 天风证券·2024-12-23 09:58Investment Rating - The report maintains a rating of "Accumulate" for the company, indicating a positive outlook with expected relative returns of 10%-20% over the next six months [8][22]. Core Insights - The company is expected to achieve revenue of 4.7 billion, 5.2 billion, and 5.9 billion yuan for the years 2024, 2025, and 2026 respectively, with net profits of 288.63 million, 335.98 million, and 397.28 million yuan [22][26]. - The EPS (Earnings Per Share) is projected to be 0.83 yuan, 0.97 yuan, and 1.15 yuan for the years 2024, 2025, and 2026 respectively, with corresponding P/E ratios of 11x, 10x, and 8x [22][26]. - The company has a strong focus on the Teenie Weenie brand, which has a rich IP asset base and targets the Z generation and children, integrating trendy design elements into its offerings [19][15]. Financial Summary - The company's revenue for 2022 was 3.9 billion yuan, with a projected growth rate of 16.55% in 2023, followed by a modest growth of 3.50% in 2024 [26]. - The gross profit margin is expected to stabilize around 69% over the forecast period, indicating strong operational efficiency [2]. - The net profit margin is projected to improve from 1.83% in 2023 to 6.76% in 2026, reflecting enhanced profitability [2][22]. Brand and Market Position - The Teenie Weenie brand, acquired in 2017, has been positioned as a high-end retro collegiate style brand in China, appealing to young consumers through collaborations and innovative marketing strategies [14][15]. - The brand leverages its IP assets by creating engaging narratives and characters, which resonate well with its target audience, enhancing brand loyalty and consumer engagement [19][20].