Xiamen Jihong Technology (SZ:002803) KAIYUAN SECURITIES·2026-01-21 10:24Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Insights - The company is expected to achieve a significant growth in 2025, with a projected net profit attributable to shareholders of 273-291 million yuan, representing a year-on-year increase of 50%-60% [4] - The company maintains its profit forecast for 2025-2027, estimating net profits of 286 million yuan in 2025, 360 million yuan in 2026, and 442 million yuan in 2027, with corresponding EPS of 0.63, 0.80, and 0.98 yuan [4] - The current stock price corresponds to a PE ratio of 30.7, 24.4, and 19.9 for the years 2025, 2026, and 2027 respectively [4] Financial Performance Summary - The company reported a revenue of 6,695 million yuan in 2023, with a projected revenue of 7,153 million yuan in 2025, reflecting a year-on-year growth of 29.4% [7] - The gross margin is expected to improve from 46.7% in 2023 to 51.2% in 2027, indicating enhanced profitability [11] - The net profit margin is projected to increase from 5.0% in 2023 to 4.2% in 2027, showing a gradual recovery [11] Business Strategy - The company is leveraging its packaging and cross-border social e-commerce businesses to drive high growth, with a focus on long-term partnerships in the fast-moving consumer goods sector [5] - The integration of AI technology, specifically GEO, is enhancing the company's ability to expand into overseas markets, particularly in small language regions [6] - The AI system supports over 40 countries and 28 languages, aiming to improve market penetration in Latin America, Central Europe, and Eastern Europe by 2026 [6]