Investment Rating - The report maintains a "Strong Buy" rating for the company, with a target price of HKD 21.5, compared to the current price of HKD 15.46 [1]. Core Insights - The company achieved a revenue of HKD 2.145 billion in 2023, representing a year-on-year growth of 31.2%, and a net profit of HKD 230 million, which is a 108.2% increase year-on-year [1]. - The adjusted net profit for 2023 was HKD 241 million, reflecting a growth of 53.2% year-on-year [1]. - The gross margin stood at 45.6%, up by 1.7 percentage points, while the net margin was 10.7%, an increase of 4.0 percentage points [1]. - The company plans to distribute a dividend of HKD 0.47 per share, totaling HKD 110 million, with a payout ratio of approximately 45.3% [1]. Summary by Sections Financial Performance - Revenue for H2 2023 was HKD 1.111 billion, a 23.0% increase year-on-year, with a net profit of HKD 110 million [1]. - The three main business segments—beauty, medical aesthetics, and sub-health—generated revenues of HKD 1.19 billion, HKD 850 million, and HKD 100 million, respectively, with growth rates of 26.1%, 37.1%, and 47.6% [1]. - The average annual visit frequency for active members increased from 9.5 to 10.6 times, leading to an 11.3% rise in average annual spending per member to HKD 21,000 [1]. Business Expansion - The company opened 19 new stores and acquired 31 franchise stores in 2023, bringing the total to 201 direct-operated stores and 199 franchise stores by year-end [1]. - The acquisition of the Narier brand for HKD 350 million is expected to enhance the company's presence in the Greater Bay Area and complement its existing business model [1]. Future Outlook - The company is projected to continue its growth trajectory, with revenue estimates for 2024, 2025, and 2026 at HKD 2.418 billion, HKD 2.734 billion, and HKD 3.096 billion, respectively, reflecting growth rates of 12.7%, 13.1%, and 13.2% [2]. - Net profit forecasts for the same period are HKD 270 million, HKD 311 million, and HKD 362 million, with respective growth rates of 17.3%, 15.1%, and 16.3% [2].
2023年报点评：业务稳健，拟收购奈瑞儿