aiyingshi(603214) EBSCN·2025-04-06 08:43Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for future performance [4][6]. Core Insights - The company achieved a revenue of 3.47 billion yuan in 2024, reflecting a year-on-year growth of 4.06%, while the net profit attributable to the parent company was 110 million yuan, up 1.61% year-on-year [1]. - The company is expanding its presence in the IP retail market, which is expected to attract younger consumers and create new growth opportunities [3]. - The online channel is rapidly developing, with e-commerce revenue increasing by 16.6% in 2024 [3]. Financial Performance Summary - Revenue and Profit: In 2024, the company reported a revenue of 3.47 billion yuan, with a net profit of 110 million yuan. The fourth quarter saw a revenue of 1 billion yuan, a 9.69% increase year-on-year [1]. - Gross Margin and Expense Ratio: The overall gross margin for 2024 was 26.9%, down 1.5 percentage points from the previous year. The expense ratio decreased by 1.6 percentage points to 23.5% [2]. - Store Expansion: The company opened 62 new stores in 2024, bringing the total to 475 stores, with a focus on shopping centers [3]. Profit Forecast and Valuation - The profit forecasts for 2025 and 2026 have been raised by 4% and 7% respectively, with projected net profits of 119 million yuan and 128 million yuan [4]. - The company is expected to benefit from ongoing fertility subsidy policies, enhancing its competitive position in the maternal and infant consumption sector [4]. Key Financial Metrics - Earnings Per Share (EPS): The EPS for 2024 is projected at 0.77 yuan, with a growth trajectory leading to 0.98 yuan by 2027 [5]. - Return on Equity (ROE): The diluted ROE is expected to remain stable around 9.2% in 2024, gradually increasing to 9.8% by 2027 [12]. - Price-to-Earnings (P/E) Ratio: The P/E ratio is projected to decrease from 28 in 2023 to 21 by 2027, indicating a potentially more attractive valuation over time [5][12].