LANCY(SZ:002612) Guoxin Securities·2024-02-28 16:00Investment Rating - The investment rating for the company is "Accumulate" (maintained) [10][11]. Core Views - The company is expanding its medical beauty business through the acquisition of Zhengzhou Jimei Medical Beauty Hospital, which is expected to enhance its national presence and brand strength in the medical beauty sector [3][12]. - Zhengzhou Jimei reported a revenue of 106 million yuan in 2023, a year-on-year increase of 52.69%, and achieved a net profit of 7.69 million yuan, recovering from a loss of 17.18 million yuan in 2022 due to the pandemic [6][14]. - The acquisition is valued at 155 million yuan, with a corresponding PE ratio of 20 based on the 2023 net profit [25][26]. - The company aims to leverage its medical beauty acquisition fund to identify and cultivate potential targets, facilitating rapid expansion in the medical beauty market [12][26]. Financial Performance - Zhengzhou Jimei's financial commitments for 2024-2026 include audited net profits of no less than 10.54 million yuan, 12.82 million yuan, and 15.29 million yuan, with expected growth rates of 22% and 19% for 2025 and 2026, respectively [7][11]. - The company's projected net profits for 2023-2025 are 229 million yuan, 312 million yuan, and 381 million yuan, corresponding to PE ratios of 33.1, 24.3, and 19.8 [11][16]. - The medical beauty industry in China has significant growth potential, with increasing market concentration expected as regulatory compliance drives healthy competition [11][16]. Acquisition Details - The acquisition involves purchasing 100% of Zhengzhou Jimei, with 70% from the related party Wuhu Bochen No. 9 Equity Investment Partnership, 18% from Wuhu Jujin Fashion Industry Investment Partnership, and 12% from individual Wu Hongming [12][13]. - The transaction is anticipated to enhance the company's scale advantages and national brand power in the medical beauty sector [12][25].