XUEDA(000526) Changjiang Securities·2025-05-09 05:15Investment Rating - The report maintains a "Buy" rating for the company [9] Core Views - In 2024, the company achieved an operating revenue of 2.786 billion yuan, a year-on-year increase of 25.90%, and a net profit attributable to the parent company of 180 million yuan, up 16.84% year-on-year. After excluding the impact of stock incentive expenses, the net profit and the net profit after deducting non-recurring gains and losses increased by 34.04% and 34.88% respectively [2][6] - For Q1 2025, the company reported an operating revenue of 864 million yuan, a year-on-year increase of 22.46%, and a net profit attributable to the parent company of 73.77 million yuan, up 47.00% year-on-year. Excluding stock incentive expenses, the net profit and the net profit after deducting non-recurring gains and losses increased by 49.67% and 33.75% respectively [2][6] - The company is expected to achieve net profits attributable to the parent company of 260 million, 340 million, and 430 million yuan for 2025, 2026, and 2027 respectively, corresponding to PE ratios of 25, 20, and 15 times [2][6] Summary by Sections Revenue Growth - The company focuses on the East China region as its main target market, steadily expanding its network and recruiting teachers, leading to robust business growth. The number of personalized learning centers increased from over 240 to more than 300, with a year-on-year growth rate of over 25%, covering over 100 cities [13] - Revenue by region for 2024 shows East China contributing 1.667 billion yuan (up 31.39%), Central China 268 million yuan (up 27.66%), and West China 850 million yuan (up 15.92%), with respective shares of 59.84%, 9.63%, and 30.53% [13] Profitability - The company opened many new stores, which initially increased rental and labor costs, impacting gross margin. The overall gross margin for 2024 was 34.56%, a decrease of 1.95 percentage points year-on-year. However, cost optimization in various expense categories helped mitigate some of the gross margin pressure [13] - In Q1 2025, the gross margin was 32.02%, slightly down by 0.40 percentage points year-on-year, while the net profit margin increased to 8.51%, up 1.31 percentage points year-on-year due to increased investment income [13] Future Outlook - The company is positioned as a leader in personalized education, benefiting from a supply-demand imbalance in the market. The expansion of new outlets is expected to enhance market share and operational efficiency, leading to significant growth in performance as these outlets mature [13] - The company is also accelerating its layout in technology-enabled education, aiming to build core competitiveness and integrate resources to foster innovation in its business segments, ensuring sustainable growth in the future [13]