JONJEE(SH:600872)2024-03-30 16:00Investment Rating - The report upgrades the investment rating to "Recommended" for Zhongju Gaoxin (600872) [1] Core Views - The company achieved a revenue of 5.14 billion yuan in 2023, with a net profit attributable to shareholders of 1.70 billion yuan, reflecting a year-on-year increase of 386.5% [1] - The company is in a transitional phase, with short-term pressures on its main business due to channel restructuring and high base effects from consumer demand [1] - The implementation of an equity incentive plan is expected to support the achievement of strategic goals over the next three years [1] Financial Summary - Revenue for 2023 was 5,139.09 million yuan, with a projected revenue growth rate of -3.78% for 2024, followed by 13.10% in 2025 and 18.20% in 2026 [2] - Net profit for 2023 was 1,696.95 million yuan, with a significant projected decline of -56.62% in 2024, followed by growth rates of 24.77% and 19.91% in 2025 and 2026 respectively [2] - The gross margin for 2023 was 32.71%, with expectations of improvement to 33.50% in 2024 and further increases in subsequent years [2] Strategic Planning - The company has released a three-year strategic plan aiming for a revenue target of 10 billion yuan by 2026, with a focus on operational excellence and dual-driven growth strategies [1] - The equity incentive plan aims to grant restricted stocks covering 1.83% of the total share capital, with ambitious performance targets set for revenue and return on equity [1]