Red Star Macalline(601828) 光大证券·2025-04-06 09:30Investment Rating - The report maintains an "Accumulate" rating for both A-shares and H-shares of the company [4][6]. Core Views - The company reported a significant decline in revenue and net profit for 2024, with a revenue of 7.82 billion and a net loss of 2.98 billion, reflecting a year-on-year revenue decrease of 32.08% [1][5]. - The company is expected to benefit from government subsidy policies aimed at promoting the replacement of old home appliances, which may improve its performance in the future [3][4]. Summary by Sections Financial Performance - In 4Q2024, the company achieved a revenue of 1.72 billion, down 39.57% year-on-year, with a net loss of 1.10 billion [1][2]. - The gross margin for 4Q2024 was 54.1%, showing a year-on-year increase of 0.6 percentage points, while the expense ratio rose by 24.9 percentage points to 70.6% [2]. Business Strategy - The company is enhancing its multi-format layout by introducing high-frequency consumption formats within its shopping malls, aiming to improve the overall consumer experience [3]. - The company has expanded its market presence to 249 shopping malls nationwide, with several locations becoming designated enterprises for government subsidy programs [3]. Earnings Forecast - The earnings per share (EPS) estimates for 2025 and 2026 have been revised down to 0.01 and 0.06 respectively, with a new estimate for 2027 at 0.10 [4][5]. - The company is projected to see a recovery in profitability starting in 2025, with a significant increase in net profit forecasted for 2026 and 2027 [4][5].