OPPLE(SH:603515) Huachuang Securities·2025-05-21 10:42Investment Rating - The report maintains a "Strong Buy" rating for the company, expecting it to outperform the benchmark index by over 20% in the next six months [1][14]. Core Views - The company reported a decline in revenue and net profit for 2024, with total revenue of 7.1 billion yuan, a year-on-year decrease of 9.0%, and a net profit of 903 million yuan, down 2.3% [1][4]. - For Q1 2025, the company achieved revenue of 1.49 billion yuan, a decrease of 5.8% year-on-year, but net profit increased by 16.8% to 140 million yuan [1]. - The company plans to distribute a cash dividend of 0.9 yuan per share, totaling 666 million yuan, with a payout ratio of 73.8%, up from 67.7% in 2023 [1]. Financial Performance Summary - In 2024, the company’s total revenue is projected to be 7.1 billion yuan, with a year-on-year growth rate of -9.0%. The net profit is expected to be 903 million yuan, with a growth rate of -2.3% [4]. - The company’s gross margin for 2024 is 39.3%, a decrease of 1.0 percentage points year-on-year. The net profit margin is projected to be 12.7%, an increase of 0.9 percentage points [8]. - The company’s earnings per share (EPS) for 2024 is estimated at 1.21 yuan, with a price-to-earnings (P/E) ratio of 16 [4][8]. Market and Business Strategy - The company is focusing on product platform development and enhancing product competitiveness through innovation in smart lighting solutions [1][8]. - The company is optimizing its retail channels by following trends in smart home and consumer scenario upgrades, aiming to improve coverage and store productivity [1][8]. - The company is also expanding its overseas business, promoting smart lighting solutions in regions such as the Middle East and Southeast Asia, with foreign sales expected to reach 670 million yuan in 2024, a decrease of 8.8% year-on-year [1][8].