RICHEN(603755) Changjiang Securities·2025-05-09 05:15Investment Rating - The investment rating for the company is "Buy" and is maintained [9]. Core Views - The company achieved a total revenue of 405 million yuan in 2024, representing a year-on-year increase of 12.59%. The net profit attributable to shareholders was 63.86 million yuan, up 13.16% year-on-year, while the net profit excluding non-recurring items was 55.37 million yuan, an increase of 5.59% year-on-year [2][4]. - In Q4 2024, the company reported a total revenue of 107 million yuan, a year-on-year increase of 14.9%. However, the net profit attributable to shareholders decreased by 36.49% to 9.42 million yuan, and the net profit excluding non-recurring items dropped by 78.7% to 2.92 million yuan [2][4]. - For Q1 2025, the company achieved a total revenue of 101 million yuan, a year-on-year increase of 10.5%, with a net profit attributable to shareholders of 17.66 million yuan, up 36.86% year-on-year, and a net profit excluding non-recurring items of 17.57 million yuan, an increase of 44.87% year-on-year [2][4]. Revenue Breakdown - In 2024, the revenue from the catering channel was 200 million yuan, a year-on-year increase of 22.24%. In Q4 2024, it grew by 17.27%, and in Q1 2025, it increased by 9.94%. The food processing segment generated 140 million yuan, up 3.96% year-on-year, with Q4 2024 and Q1 2025 showing increases of 13.47% and 7.44%, respectively. The brand customization channel saw revenue of 52 million yuan, a year-on-year increase of 15.08%, with Q4 2024 and Q1 2025 growth rates of 26.55% and 36.92%, respectively [5]. Profitability Improvement - The company's net profit margin improved by 0.08 percentage points to 15.78% in 2024, while the gross profit margin decreased by 0.07 percentage points to 38.7%. The expense ratio decreased by 1.43 percentage points to 19.4% [6]. - In Q4 2024, the net profit margin declined by 7.09 percentage points to 8.77%, with a gross profit margin increase of 1.66 percentage points to 39.28%. The expense ratio rose by 5.49 percentage points to 25.92% [6]. - For Q1 2025, the net profit margin increased by 3.36 percentage points to 17.42%, with a gross profit margin of 39.21% and an expense ratio of 18.79%, down by 3.75 percentage points [6]. Growth Potential - The company is focusing on meeting market demand and enhancing product development, which is expected to drive growth in the catering and food processing sectors. The digital factory in Jiaxing is projected to be operational by the end of 2025, enhancing flexible manufacturing and multi-category supply capabilities. The recent acquisition of Aibeibang marks the company's entry into the baking sector, which is anticipated to contribute to new revenue streams [7]. - The projected net profits for 2025 and 2026 are 82 million yuan and 99 million yuan, respectively, with corresponding price-to-earnings ratios of 32 and 26 times [7].