Guangzhou Restaurant(SH:603043) Huaxin Securities·2024-03-28 16:00Investment Rating - The report maintains a "Buy" investment rating for the company [2][5]. Core Insights - The company has a strong foothold in the Guangdong market with its mooncake and frozen products, and is expanding into the East China market as production capacity increases. The brands under the company, including Guangzhou Restaurant, Tao Tao Ju, and Li Kou Fu, are well-positioned to benefit from the growth in the catering industry, indicating robust brand momentum and stable performance [2][5]. - The company's total revenue for 2023 was 4.901 billion yuan, representing a 19% year-on-year increase, while the net profit attributable to shareholders was 550 million yuan, up 5% year-on-year. The earnings per share (EPS) for 2024-2026 are projected to be 1.10, 1.30, and 1.53 yuan, respectively, with corresponding price-to-earnings (PE) ratios of 16, 13, and 12 times [2][5][8]. Financial Performance Summary - The company's revenue is expected to grow steadily, with projections of 5.712 billion yuan in 2024, 6.538 billion yuan in 2025, and 7.392 billion yuan in 2026, reflecting growth rates of 16.6%, 14.5%, and 13.1%, respectively [8]. - The net profit attributable to shareholders is forecasted to reach 628 million yuan in 2024, 740 million yuan in 2025, and 868 million yuan in 2026, with growth rates of 14.1%, 17.9%, and 17.3% [8]. - The company's gross profit margin for 2023 was 35.62%, with a net profit margin of 11.90%. The gross margin is expected to improve slightly in the coming years [8].