HUATU CENDES(SZ:300492) Soochow Securities·2024-04-26 01:30Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected relative price increase of over 15% compared to the benchmark in the next six months [7][11]. Core Insights - The company reported a significant increase in revenue and profit in Q1 2024, with revenue reaching 695 million yuan and a net profit of 72.56 million yuan, primarily driven by contributions from public examination training [9][11]. - The company has expanded its education segment, establishing over 1,000 outlets and employing more than 3,000 teachers, with a notable shift towards non-degree training programs [10][11]. - The forecast for net profit has been revised upwards for 2024-2025, with expected net profits of 497.18 million yuan and 619.35 million yuan respectively, reflecting a strong growth trajectory in the public examination training market [11][14]. Financial Data Summary - The company’s total revenue for 2023 was 247.12 million yuan, with a projected increase to 2.72 billion yuan in 2024, representing a year-on-year growth of 1,000% [14][21]. - The net profit for 2023 was reported at a loss of 91.97 million yuan, but is expected to turn positive in 2024 with a net profit of 497.18 million yuan [14][21]. - The company’s cash flow from operating activities for 2024 is projected to be 933 million yuan, indicating strong operational cash generation [17][21].