JONJEE(SH:600872)2024-04-24 07:02Investment Rating - The report maintains an "Outperform" rating for the company [7]. Core Views - The company reported a strong performance in Q1 2024, with revenue of 1.485 billion yuan, a year-on-year increase of 8.6%, and a net profit of 239 million yuan, up 59.7% year-on-year, exceeding profit expectations [7]. - The management team has implemented a three-year strategic plan and is expected to enhance the company's performance in the seasoning business, supported by market-oriented assessments and equity incentives [7]. - The company is focusing on optimizing its product categories, with soy sauce and chicken essence as main products, while edible oil is positioned as a supplementary category [7]. Summary by Sections Market Data - Closing price: 27.55 yuan - One-year high/low: 40.39/20.5 yuan - Market capitalization: 21,637 million yuan [2]. Financial Data - As of March 31, 2024, the company reported a net asset value per share of 6.17 yuan and a debt-to-asset ratio of 19.92% [3]. - Total shares: 785 million [3]. Revenue and Profit Forecast - Projected net profits for 2024-2026 are 758 million, 971 million, and 1.246 billion yuan, respectively, with year-on-year growth rates of -55%, +28%, and +28% [8]. - The gross profit margin is expected to improve, with a forecast of 34.6% in 2024 [8]. Performance Drivers - The increase in revenue from the core product line, "Meiwei Xian," is attributed to improved product structure and reduced cost pressures, leading to a gross margin of approximately 37.3% in Q1 2024 [7]. - The company added 97 new distributors, bringing the total to 2,181, aligning with its annual planning [7].