Hotata(SH:603848) Guoxin Securities·2024-04-25 12:30Investment Rating - The investment rating for the company is "Buy" [21][22] Core Views - The company reported a revenue of 1.69 billion yuan in 2023, representing a year-on-year increase of 22.2%, and a net profit attributable to shareholders of 327 million yuan, up 49.7% year-on-year [21] - The company is focusing on expanding its offline channels and diversifying its online operations, which has led to significant growth in both revenue and profitability [21] - The smart home segment, particularly smart drying products, is a key growth driver, with revenue from this segment increasing by 26.4% to 1.43 billion yuan, accounting for 85.7% of total revenue [21] - The company has improved its operational efficiency, with inventory and accounts receivable decreasing by 19.6% and 9.6% year-on-year, respectively [21] Financial Forecasts and Metrics - Revenue is projected to grow from 2.04 billion yuan in 2024E to 2.89 billion yuan in 2026E, with a compound annual growth rate (CAGR) of approximately 19.4% [3] - Net profit attributable to shareholders is expected to increase from 391 million yuan in 2024E to 576 million yuan in 2026E, reflecting a CAGR of 21.0% [3] - The company's earnings per share (EPS) is forecasted to rise from 0.97 yuan in 2024E to 1.43 yuan in 2026E [3] - The company's price-to-earnings (P/E) ratio is projected to decrease from 15.0 in 2024E to 10.2 in 2026E, indicating a potentially attractive valuation [3] Revenue and Profitability Trends - The company's gross margin improved by 5.0 percentage points to 51.4% in 2023, driven by increased sales and a higher proportion of smart products [21] - The net profit margin also increased by 3.6 percentage points to 19.4% in 2023, indicating enhanced profitability [21] - The company plans to distribute a cash dividend of 3 yuan per 10 shares, reflecting its commitment to returning value to shareholders [21]