Healthcare (SH:603313) Guotou Securities·2024-02-05 16:00Investment Rating - The investment rating for the company is "Buy-A" with a target price of 13.05 CNY, indicating a potential upside from the current price of 8.37 CNY [10][27]. Core Views - The company is expected to see significant growth in net profit for 2023, with estimates ranging from 120 million to 150 million CNY, representing a year-on-year increase of 190.14% to 262.68% [9]. - The company has been actively participating in international furniture exhibitions to enhance its market share in overseas markets [8]. - The decline in raw material prices and shipping costs is anticipated to boost the company's gross margin, contributing to a strong recovery in Q4 2023 [22] [9]. Financial Performance - The company is projected to achieve revenues of 80.34 billion CNY from 2023 to 2025, with a net profit margin expected to improve from 1.8% in 2023 to 3.1% in 2025 [10][12]. - The estimated net profit for Q4 2023 is expected to be between 7 million to 37 million CNY, with a year-on-year growth of 112.32% to 164.59% [9]. - The company's overseas online revenue saw a significant increase of 152% year-on-year in the first three quarters of 2023, reaching 624 million CNY [9]. Market Position - The company is recognized as a leading player in the domestic memory foam mattress segment, with ongoing efforts to expand its global production capacity and brand internationalization [10]. - The company has reported a recovery in mattress exports since June 2023, with a year-on-year growth rate of 24.03% in December [9]. - The anticipated recovery in the U.S. housing market is expected to positively impact demand for home furnishings, including mattresses [9].