Anjoy food(SH:603345) Guoxin Securities·2024-03-18 16:00Investment Rating - The report maintains a "Buy" rating for the company Anjuke Foods (603345.SH) [4] Core Views - Anjuke Foods is the leading player in the frozen food industry, with a significant growth trajectory and a strong competitive position. The company has shown resilience in its business model and is expected to continue its growth in the coming years [10][24]. - The report highlights that Anjuke Foods has successfully transitioned from a secondary brand to a leading brand in the frozen food sector, achieving a revenue CAGR of 23.9% from 2012 to 2022, with total revenue reaching 12.2 billion yuan in 2022 [8][10]. - The company is well-positioned to capitalize on the growing demand for frozen food products, particularly in the hot pot ingredient segment, and is actively exploring opportunities in the prepared food market [10][24]. Summary by Sections 1. New Journey and Valuation Mystery - Anjuke Foods is the only company in the frozen food industry with revenue exceeding 10 billion yuan, achieving a revenue CAGR of 24% over the past decade [8]. - The stock has significantly outperformed the benchmark since its listing, with a 374% increase from July 2017 to November 2023, indicating strong market confidence [8][10]. - Despite a recent stock price correction due to concerns over long-term growth, the report suggests that the company's fundamentals remain strong, and its growth potential is still intact [10] 2. Establishing Competitive Barriers - Anjuke Foods has effectively navigated industry changes and established itself as a leader in the frozen food sector by focusing on hot pot ingredients and leveraging its competitive advantages [13][24]. - The company has implemented a three-pronged strategy to enhance its competitive edge, including expanding into the prepared food market [13][24]. 3. Efficient Organization and Strong Supply Chain Control - The company operates with a professional management team and has established a robust organizational structure that enhances operational efficiency [10][24]. - Anjuke Foods has developed strong relationships with high-quality suppliers, ensuring stable costs and enhancing its bargaining power in procurement [10][24]. 4. Active Layout and Acquisition Potential - The report indicates that Anjuke Foods has ample growth potential, particularly in the C-end market, which remains underpenetrated [10][24]. - The company is exploring opportunities for mergers and acquisitions to further strengthen its market position, similar to successful strategies employed by leading companies in the U.S. and Japan [10][24]. 5. Financial Analysis and Profit Forecast - Anjuke Foods has demonstrated high-quality revenue and profit growth, with a revenue CAGR of 23.2% and a net profit CAGR of 28.2% from 2011 to 2022 [2][10]. - The company is expected to maintain rapid growth over the next three years, with projected revenues of 14.8 billion yuan, 17.4 billion yuan, and 20.3 billion yuan for 2023, 2024, and 2025, respectively [2][10].