Shanghai Bolex Food Technology (603170) EBSCN·2025-04-29 05:55Investment Rating - The report maintains an "Accumulate" rating for the company [1] Core Views - The company achieved revenue and net profit of 2.651 billion and 233 million yuan respectively in 2024, with year-on-year changes of +11.9% and -22.5% [5] - The company continues to expand its product matrix and new channel layouts, with steady growth in its core business areas [1][6] - The company is expected to maintain a positive growth outlook, with projected net profits of 276 million, 315 million, and 348 million yuan for 2025, 2026, and 2027 respectively [9] Summary by Sections Financial Performance - In 2024, the company reported revenue of 2.651 billion yuan, with a net profit of 233 million yuan, reflecting a year-on-year revenue growth of 11.9% but a decline in net profit by 22.5% [5] - For Q4 2024, revenue and net profit were 721 million and 60 million yuan, showing a year-on-year increase of 18.2% in revenue and a slight decrease of 0.5% in net profit [5] - In Q1 2025, the company achieved revenue of 669 million yuan and a net profit of 58 million yuan, with year-on-year changes of +7.2% and -4.2% respectively [5] Business Segments - The revenue from various product lines in 2024 was as follows: compound seasoning at 1.3 billion yuan (+13.2%), light cooking at 1.13 billion yuan (+10.4%), and dessert ingredients at 150 million yuan (+3.0%) [6] - The company’s revenue from direct sales and non-direct sales in 2024 was 2.14 billion and 430 million yuan, with year-on-year growth of 12.4% and 6.6% respectively [6] Regional Performance - In 2024, the East China region generated 2.08 billion yuan in revenue (+11.47%), while North China contributed 160 million yuan (+0.33%) [6] - The company saw significant growth in South China (+70.4%) and Southwest China (+55.8%) in Q1 2025 [6] Profitability and Margins - The gross margin for 2024 was 32.8%, slightly down from the previous year, primarily due to intense market competition [7] - The net profit margin for 2024 was 8.8%, reflecting a decrease of 3.9 percentage points year-on-year [7] Innovation and Growth Strategy - The company launched nearly 2,600 products in 2024, with new products accounting for 60% of total sales over the past three years [8] - The company plans to continue expanding its product matrix and enhancing its market share in new channels, including membership-based stores and large chain supermarkets [8] Earnings Forecast and Valuation - The projected earnings per share (EPS) for 2025, 2026, and 2027 are 0.69, 0.79, and 0.87 yuan respectively, with corresponding price-to-earnings (P/E) ratios of 20x, 17x, and 16x [9]