LFX(600612) 东吴证券·2025-03-16 13:31Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company's 2024 performance is under pressure due to a sharp rise in gold prices, with expectations for a performance turnaround in 2025 [7] - The company reported a revenue of 56.79 billion yuan for 2024, a year-on-year decrease of 20.5%, and a net profit attributable to shareholders of 1.95 billion yuan, down 11.95% year-on-year [7] - The report anticipates that consumer demand for gold jewelry will gradually recover if gold prices stabilize, with a potential improvement starting in the second quarter of 2025 [7] Financial Performance Summary - Total revenue for 2022 was 63.01 billion yuan, increasing to 71.44 billion yuan in 2023, but projected to decline to 56.79 billion yuan in 2024 [1] - The net profit attributable to shareholders was 1.7 billion yuan in Q4 2024, a decrease of 30% year-on-year, primarily due to suppressed consumer demand from rising gold prices [7] - The company plans to expand its market presence with new store formats and themes, aiming to enhance its retail strategy [7] Earnings Forecast and Valuation - The forecast for net profit in 2024 is 1.95 billion yuan, with adjustments made for 2025 and 2026 net profit estimates to 2.13 billion yuan and 2.28 billion yuan respectively [7] - The current price-to-earnings ratio (P/E) for 2025 and 2026 is projected to be 13.4 and 12.5 times, respectively, indicating an attractive valuation phase for the company [7]