CHJ(002345)2025-05-09 13:25Investment Rating - The report does not explicitly state an investment rating for the company Core Viewpoints - The company has shown a significant increase in net profit in Q1 2025, driven by product innovation and structural optimization, enhancing profitability [4][5] - The gold jewelry business has experienced steady revenue and profit growth, with franchising being the main engine for revenue increase [2][9] - The company is actively responding to fluctuations in gold prices through product innovation and cost control measures [5][12] Revenue and Profit Performance - In 2024, the company achieved revenues of 6.52 billion RMB, a year-on-year increase of 10.5%, while net profit attributable to the parent company was 0.19 billion RMB, down 41.9% year-on-year, primarily due to goodwill impairment from the "FION" bags business [2][9] - In Q1 2025, the company reported revenues of 2.25 billion RMB, a 25.4% year-on-year increase, and net profit of 189 million RMB, up 44.4% year-on-year [4][11] Product Segmentation - The company's gold jewelry products are categorized into traditional gold products and fashion jewelry, with traditional gold products' revenue share increasing from 38.4% in 2023 to 45.3% in 2024, showing a revenue growth rate of 30.2% [3][10] - Fashion jewelry products saw a decrease in revenue share from 50.7% in 2023 to 45.6% in 2024, with a slight decline in revenue [3][10] Distribution and Sales Channels - The company’s retail network expanded to 1,505 stores by the end of 2024, with a net increase of 129 stores, reflecting a shift towards a more asset-light and efficient channel model [6][13] - The revenue from franchised agency increased by 32.4% year-on-year, indicating its role as the main source of revenue growth [2][9] Strategic Initiatives - The company is focusing on enhancing its product offerings and emotional connections with consumers to meet diverse needs across different age groups [5][12] - Plans for further expansion include opening approximately 150 new stores in mainland China in 2025 and continuing to target Southeast Asia for international growth [6][13] Dividend Policy - The company has maintained a stable dividend distribution strategy, with a proposed cash dividend of 2.5 RMB per 10 shares for 2025, reflecting a cumulative dividend ratio of 160.59% [6][14]