Investment Rating - The investment rating for the company is "Outperform the Market" [5] Core Views - The company is expected to achieve a revenue growth of 14.7% year-on-year in 2024, reaching 28.66 billion yuan, with a net profit growth of 36.9%, totaling 6.24 billion yuan, both exceeding expectations [1][10] - The company demonstrates strong competitive advantages, with orders growing faster than major brand clients, particularly benefiting from the performance of non-Nike clients [3][53] - The company is positioned to maintain its leading growth rate in the industry, with a target price adjustment to 75-82 HKD, reflecting a PE ratio of 16-17.5x for 2025 [3][54] Revenue and Profitability - Revenue is projected to grow by 14.8% in 2024, with net profit expected to increase by 36.9% [4][56] - The gross profit margin is anticipated to rise by 3.8 percentage points to 28.1% in 2024, with improvements in both the first and second halves of the year [1][10] - The company’s net cash position is 13.4 billion yuan, an increase of 2 billion yuan year-on-year [1] Customer and Product Performance - Performance varies by product category, with sportswear, casual wear, and underwear growing by 9.8%, 27.1%, and 34.6% respectively [2][27] - Customer performance shows significant growth for clients other than the second-largest client, with notable increases for clients A, C, and D [2][30] - The company is expected to benefit from the recovery of Nike, which has been under pressure, as it continues to outperform its competitors [45][51] Regional Performance - Revenue growth by region shows double-digit increases in China, with the US and Japan also seeing improved sales proportions [2][36] - The company’s revenue from China grew by 13.2%, while sales in Europe saw single-digit growth [36] Future Outlook - The company plans a 10% increase in production capacity for 2025, with stable pricing and gross margins [51] - The management indicates that if Nike recovers, there could be further upside potential for the company’s orders and performance [53][54]
申洲国际（02313）：024年净利润增长37%，客户表现分化