Investment Rating - The report maintains a rating of "Buy" for the company, with a target price of 11.18 CNY, while the current price is 7.43 CNY [4][5]. Core Insights - The company is actively promoting a franchise plan to enhance market share, with the first batch of franchise opportunities being limited [5]. - The company aims to upgrade children's lifestyle stores to capture the growing demand in the children's market, having completed upgrades for two stores in 2023, resulting in a significant increase in average customer visits [5]. - The report highlights the company's focus on leveraging AI applications to improve management efficiency and user experience, which is expected to enhance operational capabilities [5]. Financial Forecast - Revenue is projected to grow from 8,520 million CNY in 2022 to 12,941 million CNY by 2025, reflecting a compound annual growth rate (CAGR) of approximately 20% [4]. - EBIT is expected to increase from 172 million CNY in 2022 to 489 million CNY in 2025, indicating a recovery in profitability [4]. - Net profit attributable to shareholders is forecasted to rise from 122 million CNY in 2022 to 416 million CNY in 2025, with a significant increase in earnings per share (EPS) from 0.18 CNY to 0.37 CNY over the same period [4][5]. Operational Metrics - The company has a gross margin of 30.6% and is expected to maintain a stable EBIT margin around 3.0% to 3.8% from 2023 to 2025 [5]. - The return on equity (ROE) is projected to improve from 7.1% in 2022 to 10.6% by 2025, reflecting enhanced profitability and capital efficiency [5]. - The company’s debt-to-asset ratio stands at 65.0%, indicating a moderate level of leverage [5].
拟推进加盟计划，看好市场份额提升