JGJC(SZ:000799) Tianfeng Securities·2025-02-10 10:42Investment Rating - The investment rating for the company is "Accumulate" [5] Core Views - The company is expected to face significant profit pressure in 2024, with projected revenue of approximately 1.423 billion yuan, a year-on-year decline of 49.7%, and a net profit attributable to shareholders of 10-15 million yuan, down 97-98% year-on-year [1][2] - The marketing reform is gradually showing results, with a notable increase in consumer engagement, as indicated by a 95% year-on-year growth in the number of consumers scanning bottles and a 92% increase in the number of participating consumers [1] - The company plans to focus its resources on its home market and model markets outside the province in 2025, which is expected to lead to gradual operational improvements [1] Financial Data and Valuation - Revenue projections for 2024, 2025, and 2026 are 1.423 billion yuan, 1.585 billion yuan, and 1.741 billion yuan respectively, with corresponding net profits of 14.33 million yuan, 126.87 million yuan, and 170.87 million yuan [2][3] - The company's earnings per share (EPS) is expected to drop to 0.04 yuan in 2024, with a significant recovery projected in subsequent years [3] - The price-to-earnings (P/E) ratio is projected to be extremely high at 1,027.62x for 2024, decreasing to 116.10x in 2025 and 86.20x in 2026 [3] Market and Competitive Landscape - The company is experiencing increased competition in the industry, which is contributing to the pressure on its operations [2] - The high-end product segment is underperforming, leading to a decline in the revenue share from premium products [2]