盈利能力再创新高，看好海外迈入全面加速期

Investment Rating - The report maintains a "Buy" rating with a target price of $28.60, representing a potential upside of 37.3% from the current price of $20.83 [2][7]. Core Insights - The company reported a record high in profitability for the quarter ending December 31, 2023, with revenue increasing by 54% year-over-year to 3.84 billion yuan, driven by domestic growth of 56% and overseas growth of 52% [6][8]. - The gross margin improved by 3.2 percentage points to 43.1%, achieving a new quarterly high, while the adjusted net profit margin reached a new high of 17.4% [6][8]. - The guidance for 2024 indicates a revenue growth of 20-30%, an increase from the previous guidance of 20-25%, with profits expected to outpace revenue growth [6][8]. Summary by Sections Financial Performance - For the full year 2023, total revenue increased by 39% to 13.84 billion yuan, with domestic revenue growing by 36% to 9.13 billion yuan and overseas revenue increasing by 47% to 4.71 billion yuan [8]. - The company aims to open 350-450 new stores domestically and 550-650 stores overseas in 2024, with a balanced approach between direct and franchise operations [6][8]. Domestic Market Outlook - The domestic same-store sales growth (SSSG) is projected to be optimistic due to ample room for store renovations and expansions, with an expected compound annual growth rate (CAGR) of 10-15% over the next three years [10][11]. - The company currently operates approximately 4,000 stores in China, with two-thirds being smaller than 200 square meters, indicating potential for efficiency improvements [10][11]. International Market Outlook - The overseas business is expected to accelerate significantly, with a target of approximately 7,000 stores in the medium term, including 1,000 in the U.S. and 1,000 in India [11]. - The North American market is showing promising results, with estimated monthly sales per store ranging from $120,000 to $140,000 and double-digit profit margins at the store level [11]. Profitability and Margin Analysis - The gross margin is expected to benefit from an increased share of overseas sales and a higher proportion of IP products, which will slightly enhance overall margin performance [11].