Roborock(SH:688169) Guoxin Securities·2024-04-01 16:00Investment Rating - The investment rating for the company is "Buy" [1][4][11]. Core Views - The company achieved a revenue of 8.65 billion with a year-on-year growth of 30.5% and a net profit of 2.05 billion, reflecting a significant increase of 73.3% [1]. - The fourth quarter continued to show strong performance with a revenue of 2.97 billion, up 32.6%, and a net profit of 690 million, which is a remarkable increase of 110.3% [1]. - The company plans to distribute a cash dividend of 4.68 per share and a stock dividend of 4 shares for every 10 shares held, resulting in a total dividend payout ratio of 41% [1]. Summary by Sections Financial Performance - In 2023, the company reported a revenue of 86.5 billion, a 30.5% increase year-on-year, and a net profit of 20.5 billion, up 73.3% [1][5]. - The gross margin improved by 5.9 percentage points to 55.1%, with a notable increase in the fourth quarter gross margin to 56.7% [1][9]. - The company’s net profit margin reached 23.3% in Q4, an increase of 8.6 percentage points year-on-year [1]. Market Position and Product Performance - The domestic market for robotic vacuum cleaners is recovering, with the company increasing its market share by 3 percentage points to 24% in 2023 [1]. - The company launched new products in early 2024, including the P10S and G20S series, targeting different consumer segments, which are expected to further boost market share [1]. - The overseas market expansion is ongoing, with the company entering over 180 Target stores in the U.S. by the end of 2023, contributing to revenue growth [1]. Future Projections - The company’s net profit is projected to reach 2.4 billion in 2024, with a growth rate of 17%, and is expected to continue growing at rates of 16% and 15% in the following years [1][5]. - The price-to-earnings ratio is forecasted to be 18, 16, and 14 times for the years 2024, 2025, and 2026, respectively [1][5].