HEILAN HOME(600398)2025-05-13 13:35Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 8.5 CNY based on a 17x PE valuation for 2025 [2][4][9]. Core Insights - The company has shown resilience in its Q1 performance, with a revenue of 20,957 million CNY in 2024, reflecting a 2.7% year-on-year decline, while the net profit attributable to the parent company decreased by 26.9% to 2,159 million CNY [8]. - The company is focusing on new business growth points, particularly in the sports sector, and has made strategic investments to enhance its market presence [8]. - The financial forecasts for 2025-2027 indicate an expected EPS of 0.50, 0.56, and 0.63 CNY respectively, with revenue growth projected at 7.3%, 9.0%, and 8.8% [2][9]. Financial Performance Summary - The company's revenue for 2023 was 21,528 million CNY, with a year-on-year growth of 16.0%. The projected revenues for 2024, 2025, 2026, and 2027 are 20,957 million CNY, 22,496 million CNY, 24,511 million CNY, and 26,671 million CNY respectively [2][12]. - The operating profit for 2023 was 3,611 million CNY, with a growth of 28.7%. The expected operating profits for the next few years are 2,780 million CNY, 3,039 million CNY, 3,360 million CNY, and 3,790 million CNY [2][12]. - The net profit attributable to the parent company for 2023 was 2,952 million CNY, with a growth of 37.0%. The forecasts for the following years are 2,159 million CNY, 2,417 million CNY, 2,667 million CNY, and 3,003 million CNY [2][12]. Market Position and Strategy - The company is actively expanding its online and offline channels, with online revenue growth of 35.6% in 2024, while offline channels grew by 10% [8]. - The company is also focusing on enhancing its presence in the overseas market, achieving a revenue of 355 million CNY from international operations, which is a 30.75% increase year-on-year [8]. - The strategic acquisition of stakes in sports brands and the expansion of the JD Outlet stores are part of the company's efforts to diversify and strengthen its market position [8].