M&G(SH:603899) Guohai Securities·2024-03-31 16:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1][10] Core Insights - The company achieved a revenue of 23.351 billion yuan in 2023, representing a year-on-year increase of 16.78%, and a net profit of 1.527 billion yuan, up 19.05% year-on-year [3][7] - The traditional core business showed stable growth, with revenue of approximately 9.136 billion yuan, a year-on-year increase of about 7.55% [4][8] - The retail segment, particularly the "Jiumu Miscellaneous Society," saw significant growth, achieving revenue of 1.335 billion yuan, a 51% increase, and marking its first profitable year [4][8] Summary by Sections Financial Performance - In Q4 2023, the company reported revenue of 7.492 billion yuan, a year-on-year increase of 19.54%, and a net profit of 433 million yuan, up 24.62% year-on-year [3][7] - The company’s gross margin for 2023 was 18.86%, a decrease of 0.50 percentage points year-on-year, while the net profit margin was 7.04%, an increase of 0.26 percentage points year-on-year [9] Business Segments - The traditional core business and "Chenguang Technology" achieved revenues of 8.57 billion yuan, growing by 30% year-on-year [4][8] - The "Jiumu Miscellaneous Society" achieved revenue of 1.24 billion yuan, a 52% increase, and a net profit of 25.72 million yuan [4][8] Future Outlook - The company is expected to generate revenues of 27.173 billion yuan, 31.608 billion yuan, and 36.858 billion yuan for 2024, 2025, and 2026 respectively, with corresponding net profits of 1.829 billion yuan, 2.126 billion yuan, and 2.456 billion yuan [10][11] - The company maintains a focus on enhancing product strength and optimizing its structure, with a clear second growth curve emerging from its retail expansion [10][11]