Westone(SZ:002268) Soochow Securities·2025-04-30 03:23Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported a revenue of 2.467 billion yuan for 2024, a decrease of 19.71% year-on-year, and a net profit attributable to shareholders of 158.15 million yuan, down 54.65% year-on-year, which aligns with market expectations [2] - In Q1 2025, the company achieved a revenue of 148 million yuan, an increase of 15.68% year-on-year, with a net loss of 135 million yuan, which is a 30.40% reduction in loss year-on-year, also meeting market expectations [2] - The company is focusing on high-quality development and restructuring its growth logic towards "value creation" [8] Financial Summary - Total revenue for 2023 was 3.073 billion yuan, with a projected revenue of 2.843 billion yuan for 2025, reflecting a year-on-year growth of 15.23% [1][9] - The net profit attributable to shareholders is expected to recover to 201.71 million yuan in 2025, representing a year-on-year increase of 27.54% [1][9] - The latest diluted EPS is projected to be 0.24 yuan for 2025, with a forecasted increase to 0.43 yuan by 2027 [1][9] - The company’s P/E ratio is expected to decrease from 79.35 in 2024 to 34.38 in 2027, indicating improved valuation over time [1][9] Business Performance - The company's password business generated revenue of 1.423 billion yuan in 2024, down 3.53% year-on-year, while the network security business saw a significant decline of 36.58% to 932 million yuan [8] - The gross margin for 2024 is reported at 40.77%, a slight decrease of 1.56 percentage points year-on-year [8] - The company plans to enhance its market analysis and resource allocation, shifting from "scale expansion" to "value creation" [8]