WEIXING(002003) 国盛证券·2025-02-27 00:14Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for its stock performance relative to the benchmark index [6]. Core Insights - The company reported a 19.59% year-on-year increase in revenue for 2024, reaching 4.672 billion yuan, and a 26.44% increase in net profit attributable to shareholders, amounting to 706 million yuan, which aligns with expectations [1]. - The fourth quarter of 2024 showed a significant increase in revenue and net profit, with year-on-year growth of 9%, 218.2%, and 167.6% respectively, despite fluctuations in the consumer environment [1][2]. - The company is expected to focus on product development and innovation in 2025, with anticipated revenue growth of around 15% and stable profit margins [3]. Financial Performance Summary - The company’s revenue and net profit projections for 2024-2026 are as follows: - 2024: Revenue of 4.671 billion yuan, net profit of 706 million yuan - 2025: Revenue of 5.384 billion yuan, net profit of 816 million yuan - 2026: Revenue of 6.182 billion yuan, net profit of 948 million yuan - The projected growth rates for revenue and net profit are 15.3% and 15.5% respectively for 2025, with a consistent increase in earnings per share (EPS) from 0.60 yuan in 2024 to 0.70 yuan in 2025 [5][3]. Product Line and Market Outlook - The company anticipates strong growth in its main product lines, including buttons and zippers, while also expanding into new categories such as webbing and ropes [2]. - The establishment of the Vietnam factory is expected to meet overseas capacity demands and enhance customer engagement, although initial operations may incur losses [2]. - The company is also upgrading its facilities in Bangladesh and domestically, which is expected to improve production efficiency over time [2]. Valuation Metrics - The current price-to-earnings (P/E) ratio is projected to be 18 times for 2025, indicating a favorable valuation compared to historical performance [3][5]. - The report highlights a consistent improvement in gross margin across product lines due to effective cost control and product structure optimization [2].