Loctek(SZ:300729) Tianfeng Securities·2024-04-21 09:30Investment Rating - The investment rating for the company is "Buy" with a target price not specified [10]. Core Views - The company reported a revenue of 3.9 billion yuan in 2023, representing a year-on-year increase of 21.6%, and a net profit attributable to the parent company of 630 million yuan, up 189.7% year-on-year [10]. - The company is expected to maintain strong performance into Q1 2024, with a projected net profit growth of 103-155% [11]. - The overseas warehouse segment showed significant growth, with revenue reaching 950 million yuan in 2023, a 94% increase year-on-year, contributing to 24.4% of total revenue [3][11]. Summary by Sections Financial Performance - In Q4 2023, the company achieved a revenue of 1.22 billion yuan, a 35.7% increase year-on-year, and a net profit of 120 million yuan, up 93.6% [2]. - The company plans to distribute a dividend of 125 million yuan, representing approximately 20% of its net profit [2]. Business Segments - The overseas warehouse segment's gross margin improved to 12.7%, with a year-on-year increase of 9.3 percentage points [3]. - The demand for height-adjustable desks remains strong, and the company is expanding into new product categories such as electric sofas and ergonomic chairs, as well as new markets in the Middle East, Mexico, and Southeast Asia [4]. Cost Management and Profitability - The company has demonstrated effective cost control, leading to improved profitability [5]. - Adjusted profit forecasts indicate expected net profits of 450 million yuan, 510 million yuan, and 570 million yuan for 2024, 2025, and 2026 respectively, with corresponding EPS of 1.45, 1.63, and 1.81 yuan per share [12].