Chipown(SH:688508) Southwest Securities·2024-04-21 06:32Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 37.60 CNY for the next six months [5][15]. Core Views - The demand for home appliances is recovering, and the industrial sector is expected to regain high growth [1]. - The company achieved a revenue of 780 million CNY in 2023, representing an 8.4% year-on-year increase, while the net profit attributable to the parent company was 60 million CNY, down 33.8% year-on-year [5][11]. - The company is positioned to benefit from new energy efficiency standards and the "old-for-new" appliance replacement policy, which is expected to significantly boost demand in the home appliance market [5][9]. Financial Summary - Revenue and Growth Rates: - 2023 Revenue: 780 million CNY, growth rate of 8.4% - 2024E Revenue: 922 million CNY, growth rate of 18.2% - 2025E Revenue: 1,075 million CNY, growth rate of 16.6% - 2026E Revenue: 1,216 million CNY, growth rate of 13.1% [3][11]. - Net Profit and Growth Rates: - 2023 Net Profit: 60 million CNY, down 33.8% - 2024E Net Profit: 123 million CNY, growth rate of 106.8% - 2025E Net Profit: 166 million CNY, growth rate of 34.7% - 2026E Net Profit: 211 million CNY, growth rate of 27.2% [3][11]. - Earnings Per Share (EPS): - 2024E EPS: 0.45 CNY - 2025E EPS: 0.94 CNY - 2026E EPS: 1.26 CNY [3][11]. - Return on Equity (ROE): - 2023 ROE: 2.26% - 2024E ROE: 5.48% - 2025E ROE: 6.69% - 2026E ROE: 7.82% [3][11]. - Price-to-Earnings (PE) Ratio: - 2024E PE: 66.88 - 2025E PE: 32.35 - 2026E PE: 24.01 [3][11]. Business Segments - Home Appliances: - Revenue in 2023: 480 million CNY, with a growth rate of 30.4% [11]. - Expected growth rates for 2024-2026: 16.8%, 14.2%, and 11.2% respectively [11]. - Standard Power: - Revenue in 2023: 146 million CNY, with a decline of 14.3% [11]. - Expected recovery in 2024 with a growth rate of 14.3% [11]. - Industrial Power: - Revenue in 2023: 144 million CNY, with a slight decline of 0.2% [11]. - Expected growth rates for 2024-2026: 21.9%, 25.0%, and 20.0% respectively [11]. - Other Businesses: - Revenue in 2023: 6.8 million CNY, with a significant decline of 79.9% [11]. - Expected recovery in 2024 with a growth rate of 119.6% [11].