Investment Rating - The report assigns a "Buy" rating to the company [4]. Core Insights - The company's performance in 2023 met expectations, with profit growth driven by continuous optimization of the cost structure. The online operations have deepened, and the boutique small class model has been successfully implemented, leading to improved operational efficiency and profitability. The potential for OMO (Online-Merge-Offline) collaborative growth is promising [3]. Financial Summary - In 2023, the company achieved a revenue of 3.021 billion RMB, representing a year-on-year increase of 7.50%. The adjusted net profit was 445 million RMB, a significant year-on-year growth of 134.11%. This performance aligns with expectations, with profit growth primarily attributed to the optimization of the cost structure [3][7]. - The gross margin improved by 3.36 percentage points to 51.96%, driven by enhanced class occupancy rates through the integration of online and offline teaching models, as well as a decrease in course material costs due to lower paper procurement prices [3]. - The operating expense ratio was 46.23%, an increase of 1.50 percentage points, with sales, management, and R&D expense ratios changing by +3.92, -3.74, and +1.32 percentage points respectively [3]. Future Projections - The report forecasts adjusted net profits for FY2024-2026 to be 603 million, 800 million, and 1.025 billion RMB respectively, with a target price of 5.75 HKD based on a 20x PE for FY2024 [3].
2023年报业绩点评：小班模型跑通持续发力，盈利能力提升