IMPULSE(002899) 天风证券·2025-03-11 01:33Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [5]. Core Insights - The company is a leader in the domestic fitness equipment industry, focusing on mid-to-high-end product layouts and has successfully penetrated international markets with its IMPULSE brand [12][13]. - The global fitness equipment market is expected to grow steadily, driven by policies and increased penetration in China, with a projected market size of $132 billion in 2022 and growth rates of 3.8% to 4.2% from 2023 to 2025 [38][42]. - The company has a strong ODM business model with solid barriers to entry, and its new production capacity is set to enhance growth [2][22]. - The company is also exploring the blue ocean market of smart sports glasses, collaborating with leading brands to create innovative products [3]. Summary by Sections 1. Company Overview - The company specializes in the research, manufacturing, and sales of a full range of fitness equipment, establishing a retail network that combines direct sales and distribution [12][13]. - It has successfully entered international markets, particularly in Europe and Asia, through its IMPULSE brand and OEM/ODM partnerships [12][2]. 2. Market Dynamics - The global fitness equipment market is expanding, with North America, Europe, and China being the primary consumer markets [42][38]. - China's fitness equipment market is projected to grow significantly, with a current market size of approximately 628.5 billion yuan and a CAGR of 11.2% from 2016 to 2022 [56][63]. 3. Business Model and Growth Strategy - The company has a robust ODM business model, providing differentiated mid-to-high-end products and maintaining long-term stable partnerships with international brands [2][22]. - The new production facility is expected to double the existing capacity, enhancing the company's ability to meet growing demand [22]. 4. Financial Performance and Projections - The company reported a revenue of 896 million yuan in 2023, reflecting a year-on-year growth of 36% [4][24]. - Profit forecasts for the company indicate a net profit of 120.33 million yuan in 2024, with a projected PE ratio of 31X [3][4]. 5. Emerging Opportunities - The company is strategically positioning itself in the smart sports glasses market, which is anticipated to grow rapidly due to advancements in AI technology and increasing consumer interest in health and fitness [3][4].