BEAR APPLIANCE(SZ:002959) Guolian Securities·2024-04-09 16:00Investment Rating - The report maintains a "Buy" rating for the company [4][15][16]. Core Views - The company achieved a revenue of 4.712 billion, a year-on-year increase of 14.43%, and a net profit attributable to shareholders of 445 million, up 15.24% year-on-year [2][3]. - The company is focusing on brand upgrades and international expansion as it celebrates its 18th anniversary, which is expected to drive future growth [4][14]. - Despite challenges in the domestic market, the company has shown resilience with double-digit growth in both revenue and profit for the year [14][15]. Financial Data and Valuation - Revenue (in million): 2022: 4,118; 2023: 4,712; 2024E: 5,300; 2025E: 5,995; 2026E: 6,821 [5]. - Growth Rate (%): 2022: 14.18%; 2023: 14.43%; 2024E: 12.47%; 2025E: 13.12%; 2026E: 13.78% [5]. - Net Profit (in million): 2022: 386; 2023: 445; 2024E: 497; 2025E: 564; 2026E: 643 [5]. - EPS (in yuan/share): 2022: 2.46; 2023: 2.84; 2024E: 3.17; 2025E: 3.60; 2026E: 4.10 [5]. - The target price is set at 66.58 yuan, with a PE ratio of 21 for 2024 [15][16]. Sales and Profitability - The company reported a Q4 revenue of 1.394 billion, a decrease of 1.79% year-on-year, and a net profit of 130 million, down 11.13% year-on-year [2][3]. - The overall gross margin for 2023 was 36.6%, with a slight year-on-year increase of 0.2% [18]. - The company has managed to control costs effectively, with sales and management expense ratios decreasing year-on-year [14][20]. Market Performance - The company has seen a significant increase in overseas sales, which grew by 106% year-on-year, contributing to 8% of total revenue [13][14]. - Domestic online sales faced challenges, primarily due to weak demand in the small appliance sector and increased competition [13][14].