Songcheng Performance(SZ:300144) Wanlian Securities·2025-04-30 09:39Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected relative price increase of over 15% compared to the market in the next six months [15]. Core Views - The company has shown strong revenue growth driven by new projects, with 2024 revenue reaching 2.417 billion yuan, a year-on-year increase of 25.49%, and a net profit of 1.049 billion yuan, marking a return to profitability [1][2]. - The light asset business has significantly contributed to revenue, achieving 1.85 billion yuan in 2024, a substantial increase of 118.56% year-on-year, and accounting for 7.65% of total revenue [2]. - The company is expected to benefit from favorable national and regional service consumption policies, with projected net profits for 2025-2027 at 1.163 billion, 1.295 billion, and 1.417 billion yuan respectively [3]. Summary by Sections Financial Performance - In 2024, the company achieved a gross margin of 67.60%, an increase of 1.25 percentage points year-on-year, while the sales expense ratio rose to 5.79% due to increased advertising expenditures [3]. - For Q1 2025, the gross margin slightly decreased to 68.09%, with a net profit margin of 45.10%, reflecting a minor decline of 0.44 percentage points year-on-year [3]. Revenue Breakdown - New projects have been a key growth driver, with the newly opened Guangdong Qian Guqing generating 256 million yuan in revenue, accounting for over 10% of total revenue [2]. - The Hangzhou Songcheng Tourist Area remains the largest revenue contributor, generating 637 million yuan in 2024, although it saw a decline of 2.71% year-on-year [2]. Profit Forecast - The company’s earnings per share (EPS) are projected to be 0.44, 0.49, and 0.54 yuan for 2025, 2026, and 2027 respectively, with corresponding price-to-earnings (PE) ratios of 21, 19, and 17 times [3][5].